Feb 03, 2021

Newcomer AusGasCo wins tender for gas blocks

Newcomer AusGasCo wins tender for gas blocks

Queensland-based AusGasCo has been named as preferred tenderer to explore for gas on two blocks of prospective land to the east and south-east of Injune.

Resources Minister Scott Stewart said the first-time explorer had been appointed preferred tenderer for the blocks, totalling 114sq km in area.

“Not only are we are doing all we can to get more gas in the market, but we are welcoming first-time junior explorers to help bring more jobs and economic benefits to Queensland,” Mr Stewart said.

“In fact, during 2020 we released a total of 8205sq km for gas exploration to maintain a pipeline of future resources projects.”

AusGasCo chairman Frank Connolly said the board and team were excited to be awarded preferred tenderer for the two parcels, which will be foundation tenures for the company as a new entrant in the Queensland energy industry.

“The two tenures are complemented by their location next to a number of quality, producing coal seam gas fields with multiple domestic gas transmission pipelines nearby,” he said.

Since 2015 the State Government has released more than 80,000sq km of land for gas exploration, over a quarter of it guaranteeing the gas will be for Australian consumers. 

The government is also investing $5 million to investigate the feasibility of a physical 500km gas transmission pipeline to connect the Bowen Basin to the domestic and export markets.