Arrow Energy is moving into the front-end engineering design (FEED) phase for its proposed Bowen pipeline – another key milestone in its Bowen Gas Project.
The pipeline will supply gas from the Bowen Basin (Central Queensland) to liquefaction facilities at Gladstone (Central Queensland coast).
Arrow CEO Andrew Faulkner said the FEED contract had been awarded to engineering services firm WorleyParsons, which would produce a preliminary design for the pipeline.
“This pipeline FEED contract is another important step towards commercialising Arrow’s significant gas reserves in the Bowen Basin,” Mr Faulkner said.
“In September, the company announced it was entering FEED for the Bowen upstream development – the Bowen Gas Project.
“The proposed pipeline, up to 500km, is a key piece of infrastructure in Arrow’s plans to bring gas from the Bowen Basin to market.”
Mr Faulkner said Arrow had been safely and sustainably developing coal seam gas from the Bowen Basin since 2000 and supplying it commercially since 2004 to the Townsville power station, as well as local and industrial users in Townsville and Moranbah regions.
He said development options for Arrow’s Surat Basin gas reserves, in southern Queensland near Dalby, were also being progressed.
Operating in Queensland for more than fourteen years, Arrow now provides almost 20 per cent of the state’s gas supply, most of which is used to generate electricity.