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APA signs new gas pipeline agreement

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article image The expansion project will require looping on both the Moomba Sydney Pipeline and the Victorian Transmission System

APA Group , a major natural gas infrastructure business in Australia has entered into a new multi-service gas transportation agreement to support further capacity expansion of the Victoria - New South Wales Interconnect.

The seven-year agreement provides for the delivery of gas sourced from Victoria to the gas market in eastern Australia. Expected to cost approximately $85 million, the expansion project will require looping on both the Moomba Sydney Pipeline and the Victorian Transmission System, and will increase the daily capacity of the Victoria - New South Wales Interconnect by 30 Ti.

APA Managing Director Mick McCormack explained that the agreement was the fourth they have entered into since September 2013, which will collectively treble capacity of the Victoria - New South Wales Interconnect. Representing yet another example of APA working with customers to connect their gas resources to their markets, the expansion project, together with continued investment in APA's East Coast Grid, demonstrates the value and benefits delivered by the company’s seamless and flexible services across eastern Australia to their customers.

Project works have commenced and construction is expected to be completed by the middle of calendar year 2016.

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