RESOURCE: Blue Energy's map of pipeline routes
RESOURCE: Blue Energy's map of pipeline routes

‘Nation building’ Bowen Basin gas pipeline closer to reality

WORK is progressing on a gas exploration company’s plan to develop the “nation building” North Bowen Basin gas resource.

About 15,000 petajoules of gas has been discovered at the broader Northern Bowen Basin Gas Province.

Blue Energy’s quarterly activities report stated it was continuing to work with the National COVID-19 Construction Commission to prioritise the gas province.

The company previously said this resource would be sufficient to underpin the east coast domestic gas market for the next 30 years.

A 450km pipeline connection is required to deliver this.

“The need for the connecting pipeline infrastructure from Moranbah to Gladstone/Wallumbilla to unlock this resource is vital, as it will provide a nation building, near-term infrastructure project creating construction jobs, and jobs in developing the Bowen gas fields, plus the gas supply to preserve and grow both local manufacturing and manufacturing jobs up and down the east coast,” the report said.

“It is envisaged there will be announcements forthcoming from the Prime Minister’s office that will align both Queensland and Federal Governments and AEMO on this gas infrastructure and gas supply for the east coast.

“(This will ensure) that reliable long term gas supply is available for manufacturing to give certainty to manufacturers to plan for long overdue plant upgrades.”

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Blue Energy also gave an update on a series of potential commercial areas it applied for in 2017.

Blue Energy managing director John Phillips
Blue Energy managing director John Phillips

The Natural Resources Mines and Energy Department has granted the first three areas, with the remainder to be decided in the coming weeks.

The three granted areas are in the Bowen Basin and contain a significant portion of the company’s gas resource.

“With these grants, Blue can now more confidently market the gas resources and will allow it to now progress these areas toward Production Licences, to augment the existing Production Licence Applications that are currently on foot with the Queensland Government in the Bowen Basin,” the report said.

A pre-feasibility/business case report by engineering firm, Clough, has also indicated that gas-fired generation is viable in the Nebo area of Central Queensland.

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Blue exploring a scalable plant configuration to service the market demand in the region, as more intermittent solar energy is brought into the grid.

It is also looking into the potential for local baseload electricity off-takers, to broaden the potential scope of the project.