03/12/2019 - 15:38

LNG trucking for Strandline power

03/12/2019 - 15:38

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Woodside Petroleum and power contractor EDL will team up for a 27-megawatt gas and renewable microgrid to be built at Strandline Resource’s Coburn mineral sands project, which will include trucked LNG.

Pluto gas will be used by Strandline at Coburn.

Woodside Petroleum and power contractor EDL will team up for a 27-megawatt gas and renewable microgrid to be built at Strandline Resources' Coburn mineral sands project, which will include trucked LNG. 

The Coburn project, located 250 kilometres north of Geraldton, will cost about $257 million, according to a feasibility study released in April.

The non-binding deal will involve a storage and power station facility, comprising gas and diesel backup generators combined with solar and batteries, Strandline said.

LNG will be trucked from Woodside’s Pluto truck loading facility.

EDL build the power station, storage and regasification facilities.

Strandline said a 15-year power purchase agreement would be finalised in coming months, in time for construction. 

Strandline managing director Luke Graham said the contract would ensure low-cost fuel supply and generation. 

“The company looks forward to finalising this agreement as well as other major construction and operations contracts over the coming months,” he said.

Shares in Strandline lifted 9.5 per cent to be 11.5 cents at the close of trade today.

Gas and renewable microgrids are becoming increasingly popular on mine sites.

In November, EDL switched on its solar microgrid at Gold Fields' Agnew gold mine, while GMA Garnet is building a microgrid at its Port Gregory mine.

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