CNG Facility Construction Update
Brisbane, Dec 12, 2023 AEST (ABN Newswire) - State Gas Limited (
ASX:GAS) (STGSF:OTCMKTS) provides this update on the construction of its compressed natural gas ("CNG") facility that will support the processing and initial sale of production testing gas from the Company's Rolleston West Project.
Construction crews have remobilised to site and experienced significantly improved productivity because of more favourable weather conditions. The all-weather access road is now complete. Prefabricated foundations are now being set in place on the CNG facility pad, with all major pieces of equipment on site and being progressively installed. With civil works completed, State Gas is confident that construction and commissioning work can continue efficiently, even if the area experiences localised rain.
Trenching and pipework is now complete, with the gathering system connecting the Rougemont 2/3 dual lateral well to the CNG facility inlet point. Surface rehabilitation of the pipeline corridor is in progress.
The Company remains on track for mechanical completion of the CNG Facility and the start of plant commissioning activities in mid-January 2024. The Company intends to commence initial gas sales through its virtual pipeline as part of the commissioning process.
*To view construction photos, please visit:
https://abnnewswire.net/lnk/Z58129K5
About State Gas Limited
State Gas Limited (ASX:GAS) (OTCMKTS:STGSF) is a Queensland-based gas exploration and development company with highly prospective gas exploration assets located in the southern Bowen Basin. State Gas Limited's mission is to support east coast energy markets through the efficient identification and development of new high quality gas assets.
It will do this by applying an agile, sustainable but low-cost development approach and opportunistically expanding its portfolio in areas that are well located to gas pipeline infrastructure.
State Gas is 100%-owner of the contiguous Reid's Dome (PL-231) and Rolleston-West (ATP 2062) gas projects, both of which contain CSG and conventional gas. The Projects, together some 1,595km2 , are located south of Rolleston, approximately 50 and 30 kilometres respectively from the Queensland Gas Pipeline and interconnected east coast gas network. State Gas intends to accelerate commercialisation of these assets through the application of an innovative virtual pipeline ("VP") solution which will see the Company transport compressed gas by truck to existing pipeline infrastructure or to an end user.
State Gas also holds a 35% interest in ATP 2068 and ATP 2069 in joint venture with Santos QNT Pty Ltd (65%). These two new areas lie adjacent to or in the near vicinity of State Gas and Santos' existing interests in the region, providing for the potential of an alignment in ownership interests across the region over time and enabling synergies in operations and development.
State Gas is also participating in a carbon capture and sequestration initiative with minerals explorer Rockminsolutions Pty Ltd in respect of EPM 27596 which is located on the western border of ATP 2062. This project is investigating the potential of the unique basalts located in the Buckland Basaltic Sequence (located in EPM 27596) to provide a variety of in-situ and ex-situ carbon capture applications.
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