MELBOURNE, Australia, Jan. 30, 2001à‚–U.S. utility Duke Energy Corp. is planning to build a $250 million (Aus.) natural gas pipeline between western Victoria and South Australia.
The plans include sourcing the gas from BHP Petroleum Pty. Ltd.’s yet-to-be-developed Minerva field, about 15 km off the coast near Port Campbell in western Victoria, along with other smaller Victorian fields in the Otway Basin.
For the plan to go ahead, the planned line would need to supply a minimum annual demand of around 30 PJ. The line would be more likely to be built with a capacity of up to 60 PJ.
Duke is seeking markets in South Australia. It is also considering constructing a gas-fired power plant in Adelaide to take some of the supply. It would like to bring the gas line on stream in 2003.
Duke was one of five gas utility companies short-listed by the South Australian Government in 2000 to come up with proposals for bringing gas into the state. However, the company says that the tender process is not exclusive and the company could still build the line without government support.
Duke has already built a gas trunkline between Bass Strait in eastern Victoria and Sydney in New South Wales. It has further proposed to build another new line under Bass Strait to supply gas to Tasmania.