Blue Energy says it has received positive results from a pre-feasibility study for a gas-fired power project in the Nebo area.
Blue commissioned engineering firm Clough to undertake the pre-feasibility/business case study for the proposed plant, which would use gas from its Monslatt Block tenement (ATP814).
“The findings of the study show that low-emission gas-fired peaking capacity is economically viable under a range of machine sizes (megawatt output), configurations and electricity prices,” Blue Energy managing director John Phillips said in a company statement.
“Given Blue’s 100 per cent ownership of the gas and our low-cost operating model, Blue is confident to shortly commence marketing electricity supply to a range of potential off-takers together with technology/equipment partners and constructors.”
The company argues that Queensland’s goal of introducing ever-increasing levels of renewable energy (50 per cent by 2030) needs fast-start gas-fired firming electricity to stabilise the electricity grid and prevent it from failing.
Blue is also continuing to work with the National COVID-19 Construction Commission (NCCC) to prioritise new gas supply for eastern Australia manufacturing and in particular, the 15,000 PJ of gas resource contained in the north Bowen Basin gas province.
“The need for the connecting pipeline infrastructure from Moranbah to Gladstone/Wallumbilla to unlock this resource is vital, as it will provide a nation building, near-term infrastructure project creating construction jobs, and jobs in developing the Bowen gas fields, plus the gas supply to preserve and grow both local manufacturing and manufacturing jobs up and down the east coast,” Mr Phillips said.
“It is envisaged that there will be announcements forthcoming from the Prime Minister’s office that will align both Queensland and Federal Governments and AEMO on this gas infrastructure and gas supply for the east coast, so that reliable long term gas supply is available for manufacturing to give certainty to manufacturers to plan for long overdue plant upgrades.”