A five-year Gas Supply Agreement (GSA) with Mid-West LNG, a group company of Clean Energy Fuels Australia (CEFA), has been signed with Beach Energy and Mitsui E&P Australia – supplying Waitsia gas to the CEFA’s LNG Hub first phase.

CEFA (through Mid-West LNG) is building its beginning phase of the LNG Hub in Mount Magnet, which will process gas supplied under the GSA into LNG – that will be trucked to CEFA’s customers.

Under the GSA, which is expected to commence in Q2 FY22 , the Waitsia Joint Venture will supply a base volume of approximately 2TJ per day (~0.7PJ per year) of gas (gross) from the Xyris Production Facility (Waitsia Stage 1), with an option to increase the base volume as CEFA’s gas requirements grow in the future.

CEFA and the Mid-West group of companies are fully owned subsidiaries of I Squared Capital, a US$24 billion infrastructure fund with significant experience and assets in the energy sector.

Beach Energy Managing Director, Matt Kay, said that the agreement demonstrates Beach’s commitment to providing affordable gas to the domestic market in Western Australia.

“This agreement with CEFA will enable the supply of lower GHG emission fuels to energy users in the Mid-West,” Mr Kay said.

“The Xyris Production Facility, which processes gas from Waitsia Stage 1, has recently undergone an expansion and is sustaining production above the planned 20 TJ per day.

“This means more gas for Western Australian domestic customers and opens up opportunities to support local industry through GSAs such as this one.”

For more information about the project,visit.

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