Australian-based energy company Comet Ridge has signed a memorandum of understanding (MoU) with APA Group to facilitate options for the transportation of gas from Comet’s Galilee Basin permits to east coast gas markets.
As agreed in the MoU, APA will build, own and operate new gas pipelines and associated gas gathering and production infrastructure linking Comet’s Galilee Basin gas projects to its existing gas pipeline network in Queensland.
Comet Ridge managing director Tor McCaul said: "Given the size of Comet Ridge’s certified contingent gas resources in the Galilee Basin, particularly the Albany sandstone gas project, there is significant potential for this gas to be transported to the southeast to satisfy the demand from LNG and industrial customers.
"This MoU with APA facilitates the transportation requirements of our Galilee projects with a group that owns and operates an extensive network of pipelines on the east coast of Australia, with access to all the principal east coast markets including Gladstone, Brisbane, Mt Isa, Ballera, Moomba, Sydney and Melbourne."
Comet’s acreage position in the eastern part of the Galilee Basin is prospective for sandstone gas, as well as CSG development, including 100% interests in ATP 743 and ATP 744.
The company is also increasing its interest in ATP 1015 to 100%.
APA Group managing director Mick McCormack said: "The interconnected nature of APA’s East Coast Grid enables potential new producers such as Comet Ridge, to explore opportunities to market their gas in multiple domestic and international gas markets.
"Our infrastructure continues to connect more gas resources with more gas markets to proactively meet the needs of our customers."
Image: Regional location of Eastern Galilee basin blocks. Photo: courtesy of Comet Ridge Limited.
