Senex Energy has announced a $40 million investment to increase gas production by 50% to 18 petajoules per year at its Project Atlas operation in Queensland’s Surat Basin.
Senex Managing Director and CEO Ian Davies said the low-cost, low-carbon and long-life investment would support increased domestic natural gas supply to Australian manufacturers and other domestic users.
“Atlas is a high-quality development, providing material and reliable supplies of natural gas to Australian manufacturers, supporting the economy and jobs in local communities,” Mr Davies said.
“This investment follows strong project execution and natural gas production performance at Atlas, with reservoir performance and well availability continuing to excel.
“The Atlas expansion project will inject around $15 million into regional communities, supporting more than 100 jobs during construction.”
Since 2019, Senex has signed almost 60 PJ of natural gas sales agreements with a range of household names including CSR Building Products, Orora, Visy Glass, CleanCo Queensland and Southern Oil Refining.
This Atlas expansion has been supported by recent domestic manufacturer gas sales agreements, including with metals processor Nyrstar and with construction materials company Adbri Limited.
According to the Senex’s statement, additional gas sales agreements are currently under negotiation.