Plant works completed; Sole production resumed
Wednesday 9 December 2020
Orbost Gas Processing Plant reconfiguration works completed as planned
• Sole term gas supply to industrial customers commenced
Cooper Energy (ASX: COE) reports the reconfiguration works of the Orbost Gas Processing Plant (OGPP) announced 30 October have been completed as planned and supply under term contracts to industrial customers has commenced. The plant, which is owned and operated by APA Group (ASX: APA), processes gas from Cooper Energy’s Sole gas field.
As previously reported, the OGPP performance has been impaired by unexplained foaming in the absorber section of the sulphur recovery unit. The plant works, which commenced on 14 November involved reconfiguration to enable the plant’s absorbers to operate in parallel, sequentially, or independently and thereby enable higher sustained production rates and greater operational flexibility. The works were completed within schedule. The resumption of operations and production has proceeded in accordance with start-up plans.
The term gas supply contracts with Visy (8 TJ/day) commenced on 1 December as planned with supply sourced from supplementary arrangements in place until Sole production recommenced on 8 December.
Sole production as at 6 am (AEDT) this morning was at a rate equivalent to 25 TJ/day. Volumes in excess of gas supply to Visy will be sold into the spot gas market during December.
The plan is to increase OGPP production rates in a sustainable and controlled manner before the commencement of the remaining term contracts on 1 January. At this point, the total Annual Contract Quantity (ACQ) will be 19.75 PJ per annum (pa) which is equivalent to a daily rate of 54 TJ/day. A minimum offtake of approximately 90% of this figure is provided by take-or-pay obligations.