Senex Energy has secured a five-year domestic gas sales agreement for up to 10.5 petajoules (PJ) of natural gas with glass-packaging manufacturer O-I Australia.
O-I manufactures and supplies glass containers to some of the biggest breweries and beverage suppliers in Australia.
Under the deal, O-I’s South Brisbane plant will consume gas from Senex’s Project Atlas.
Gas will be supplied at the Wallumbilla Gas Hub in Queensland at a fixed price in line with current market levels, indexed annually.
Managing director and chief executive officer Ian Davies said this agreement marked the third domestic gas contract for Senex’s Project Atlas natural gas development, bringing the total volume under contract to over 23 PJ1 .
“With first gas from Project Atlas planned for late 2019, Senex expects to write additional new gas contracts with a range of gas buyers in the coming months,” Mr Davies said.