Energy Minister Peter Collier has today officially opened the newly-commissioned Wesfarmers Energy liquid natural gas (LNG) plant in Kwinana.
Mr Collier said its development would expand the availability of LNG in Western Australia for the heavy-duty vehicle, industrial gas and remote power station markets, while also adding to the security of gas supply.
With a capacity to produce 175 tonnes of LNG per day, or 64,000 tonnes per year, this plant is the second facility of its kind that is dedicated to domestic supply in WA.
"This plant will allow more businesses across the State to have a greater choice of fuels and the opportunity to reduce their fuel costs," the Minister said.
"I commend Wesfarmers Energy for leading development of the fledgling domestic LNG market in the southern half of the State."
In addition to the construction of the Kwinana plant, Wesfarmers Energy has built two power stations for remote mines in the Goldfields, as well as distribution and storage infrastructure for the power generation and transport sectors.
"Wesfarmers Energy has successfully accomplished its vision of developing the niche LNG market for heavy-duty vehicles in WA and on the east coast," Mr Collier said.
"This is a relatively new and exciting chapter in the development of fuel industry in this State."
The Minister said while the use of LNG in the transport sector was a recent development, it had already proved itself as a cost-effective fuel source for power generation in remote areas of the State's north.
"Today, LNG is transported up to 1,300km to provide Broome, Derby, Fitzroy Crossing and Halls Creek with more efficient and environmentally-friendly power supply for the next 20 years," he said.
"The State Government fully appreciates the value of diversity in power generation fuels as a way of managing risks associated with supply."
