Energy infrastructure company Jemena has started construction on the Atlas Gas Pipeline Project in the Surat Basin in Queensland, Australia.
All gas from Project Atlas will be sold to domestic customers.
Last June, Senex signed an agreement with infrastructure operator Jemena to jointly pursue the development of the project.
According to the agreement, Senex and Jemena will undertake the construction of a gas processing facility with a capacity of 15 petajoules (PJ) per annum.
Additionally, the partners will develop a 60km pipeline connecting the Atlas gas field in Surat Basin to the Wallumbilla hub through the Jemena-owned Darling Downs pipeline.
The buried gas pipeline project also includes a compressor station located close to the Atlas Gas Field.
The Altas project is 20km south-west of Wandoan and 57km north-west of Miles in Queensland.
Senex Energy managing director and CEO Ian Davies said: “Senex is making excellent progress in the development of Project Atlas, with first gas deliveries to the domestic gas market planned for late 2019.
“The start of pipeline construction works by Jemena is an important milestone in delivering much-needed natural gas to the east coast market.
“Senex and Jemena will invest almost $400m to bring natural gas from Project Atlas and the nearby Roma North development to market, an investment which will not only create new jobs and support the western Queensland economy, but also generate material royalties for the Queensland government to support roads, schools and hospitals.”
In March, the Queensland government granted environmental approval for the development of Senex Energy’s Project Atlas.
The project is expected to create between 150 and 200 local jobs during the development phase.
Jemena awarded a contract to Valmec for facility construction works at the project site in January.
