Australian energy company Viva Energy has entered into an agreement with GeelongPort for the construction of the pier and berthing infrastructure for the proposed Geelong LNG facility.
Viva Energy says this facility will provide a flexible and reliable supply of gas to meet Victoria and South East Australia’s energy needs. The Geelong LNG is to ensure those needs continue to be met as the market transitions to rely on more sustainable forms of energy.
The new agreement involves the construction of an extension to the existing refinery pier to provide an additional berth for a permanently moored floating storage and regasification unit (FSRU) which will be capable of receiving LNG imports from visiting ships.
GeelongPort will construct the extension to the existing refinery pier and license the pier to Viva Energy. The energy company will construct the related infrastructure including a gas pipeline and treatment facility to enable gas to be supplied into the network.
This deal reflects an important step in the approval and development of the gas terminal and provides a clear pathway to the construction and delivery of the necessary infrastructure underpinning the project.
The start of construction remains subject to the satisfaction of certain conditions, including a final investment decision.
Viva Energy CEO Scott Wyatt said the signing of the agreement is an important milestone in the development of the gas terminal project.
“Viva Energy has an almost 70-year history of operations in Geelong, is the largest shipper within the Port of Geelong accounting for over 50 per cent of total port volumes, and is an important and longstanding customer of GeelongPort. We look forward to continuing this relationship, and working with the Port to complete this important new piece of Victoria’s energy infrastructure,” said Wyatt.