AGL’s wholly-owned coal seam gas Gloucester Gas Project is located in the Gloucester Basin in New South Wales. The project will include about 110 gas wells, a Central Processing Facility for compression and processing of the extracted gas and water treatment, a gas fired electricity generating facility with capacity of up to 15MW and a gas transmission pipeline between the central processing facility and the existing gas supply network at Hexham.
First gas is expected in 2018.
The project’s water management strategy has come under fire in recent months, with claims the company was storing flowback water from pilot wells without holding proper permits.
Flow testing at the project’s Waukivory pilot test program are set to continue over the next six months, with a final investment decision for project expected in 2016.