Senex announces gas sales agreement with New Century Resources

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Senex Energy has announced a gas sales agreement with Australian resources company New Century Resources Limited for the sale of around 7 petajoules (PJ) of natural gas over three years.

New Century, which employs more than 250 people in the production of zinc concentrates, and exports to 12 smelters on three continents, owns and operates the Century Mine, located approximately 250 kilometres north-west of Mount Isa, Queensland.

Under the three-year agreement starting 1 January 2022, Senex will supply around 7 PJ of natural gas to New Century at the Diamantina Power Station in Mount Isa, which will generate the power required to operate the Century Mine.

The agreement will see Senex further supply around 1 PJ of additional natural gas at New Century’s election by mid-2022 in support of material increases in production levels associated with the potential development of existing in-situ deposits at the Century Mine.

Senex Managing Director and CEO Ian Davies said the company was proud to supply a ‘strong regional Queensland customer with natural gas from its Queensland operations’.

“Century Mine generates significant state royalties and export earnings and is a critical project in the Queensland Government’s Strategic Blueprint for the North West Minerals Province,” Mr Davies continued.

“Senex looks forward to building another strong, long-term and mutually beneficial relationship that supports jobs, the economy and helps meet Australia’s energy demand as it transitions to a lower carbon future.

“Senex also acknowledges APA as an important part of the value chain delivering energy to Mount Isa.”