Australia’s Western Gas, APA Group Studying Potential Gas Pipeline

Special to P&GJ

Western Gas and APA Group are undertaking a development and marketing study to deliver Equus gas to Australian customers and markets via a potential 130-mile (210 km) offshore pipeline and a transcontinental pipeline, the companies announced.

Equus Gas Project
Equus Gas Project

Western Gas, the owner and operator of the Equus Gas Project, signed a memorandum of understanding with APA Group assess supplying the gas at competitive prices to Western Australia domestic gas customers and East Coast markets through a new pipeline, a news release states. Both companies are based in Australia.

The Equus Gas Project is a development-ready 2 trillion cubic feet gas and 42 MMbbl condensate offshore project about 124 miles (200 km) west of Onslow in Western Australia.

The study will assess the development, commercial, marketing and regulatory aspects of the project to form a basis for an integrated bankable feasibility study, according to the release.

The offshore pipeline would run from the Equus fields to the Ashburton North Strategic Industrial Area, the release states, and gas supply to the east coast would be via an onshore transcontinental pipeline.

“We are delighted to be working with APA Group to advance an Australian resource for supply to Australian markets at an affordable price,” Western Gas Executive Director Andrew Leibovitch said. “This collaboration brings together our independently owned proven gas resource with APA’s long-standing expertise in pipeline construction and operation and its strong relationships with domestic customers and retailers.”

Gas supply could tighten in the east and west coast markets within the next few years with the absence of development of new gas fields, Western Gas said.

“Equus has the opportunity to meet those market needs, as well as create new gas supply opportunities independent of LNG focused developments,” Leibovitch said.

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