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AGL import terminal faces further delay

AGL said it now expected first gas from the Victorian project to be delivered in the second half of the 2022 financial year, an extension from its original goal of FY2021.

The company intends to moor a floating storage and regasification unit (FSRU) at the Crib Point Jetty south of Melbourne and connect it to the existing gas network via a new pipeline to be constructed by APA Group.

But the plan has attracted significant criticism and opposition from locals as well as Health Minister Greg Hunt, who is the representative for the federal seat of Flinders where the project is located.

The project is currently undergoing an environmental examination at the state level and will require both state and federal approval to proceed, with AGL expecting an outcome from these assessments to occur no earlier than late FY20.

Due to the delays, AGL has changed its selection for the project’s FSRU from the Hoegh Giant to the Hoegh Esperanza, citing the latter vessels later delivery window and more suitable timing and operational requirements.

If the project proceeds, AGL has said between 12 and 40 LNG ships per year would moor alongside the FSRU to resupply the vessel.

For more information visit the AGL website.

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