New Century Resources seals power deal

Around seven petajoules of natural gas a year. That’s what it takes to supply power to run the New Century Resources mining, processing and logistics operation in the Gulf of Carpentaria. The mine has reached a sales agreement to with Senex Energy to supply as much as that through the Diamantina Power station in Mount Isa. Three-year term The agreement, just announced to the ASX, runs for three years. The Century mine is located about 250km north-west of Mount Isa. New Century employs more than 250 people in the production of zinc concentrates, and exports to 12 smelters on three continents. Related: Zinc deal boost for base metals and New Century Resources Natural gas is to be supplied by Senex to New Century at the Diamantina Power Station in Mount Isa, generating the power required to operate the Century Mine. The Diamantina Power Station is owned and operated by APA Group. Under the three-year agreement starting 1 January 2022, Senex will provide around 7 PJ of natural gas to support New Century’s processing operations at a fixed price, in line with current market levels. Senex will further supply around 1 PJ of additional natural gas at New Century’s election by mid-2022 in support of material increases in production levels associated with the potential development of existing in-situ deposits at the Century mine. Related: Green light for $40m Senex gas project The company was proud to supply a strong regional Queensland customer with natural gas from its Queensland operations, Senex managing director and chief executive officer Ian Davies said. “Century Mine generates significant state royalties and export earnings and is a critical project in the Queensland Government’s Strategic Blueprint for the North West Minerals Province,” Mr Davies said. “Senex looks forward to building another strong, long-term and mutually beneficial relationship that supports jobs, the economy and helps meet Australia’s energy demand as it transitions to a lower carbon future. “Senex also acknowledges APA as an important part of the value chain delivering energy to Mount Isa.” This is the tenth major natural gas supply agreement announced by Senex since 2019. Senex has signed more than 75 PJ of agreements with customers including Adbri, CleanCo Queensland, CSR Building Products, Opal, Orora and Visy Glass.

New Century Resources seals power deal

Industry Queensland

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