Arrow said the deal would establish a “commercial mechanism” for the JV to process its Tipton West coal seam gas for delivery via the Wambo power high-pressure pipeline to the Braemer power station in Queensland.
It said the agreement would also provide for the future expansion of the facility and connection into APT’s Roma-Brisbane pipeline.
The Tipton West field is being developed to initially produce 10 petajoules of gas per year.
Arrow, which has a 60% stake in the JV, said the deal with APT completes the funding needs for the first stage of development of Tipton West. Beach has a 40% interest in the project.
