ExxonMobil Australia subsidiary Esso Australia Resources has extended its gas sales agreement with InfraBuild, which will see the company continue to supply Gippsland gas to support the country’s construction industry.
Esso Australia’s Gippsland gas will support InfraBuild’s sustainable steel manufacturing operations in Victoria and New South Wales at least until the mid-2020s.
ExxonMobil Australia chair Dylan Pugh said Esso continues to invest in delivering reliable and affordable Gippsland gas to Australian homes and businesses.
“Our ongoing investment and commitment to supplying Australian customers means that the Gippsland Basin remains the largest single source of gas supply to the east coast domestic market,” said Pugh.
“We continue to develop competitive supply agreements that meet the needs of local manufacturers, contracting over 60 petajoules (PJ) of natural gas directly with industrial customers in the last three years alone.”
InfraBuild chief executive and managing director Vik Bansal said that as Australia recovers from the impacts of the pandemic, the construction and manufacturing industries will prove a significant source of economic stimulation.
The Australian Petroleum Production & Exploration Association (APPEA) welcomed what was the 20th gas sales agreement for 2021, which was reached on 24 December.
APPEA deputy chief executive Damian Dwyer said the news was proof the industry is delivering supply for manufacturers.
“There have been more than 100 local GSAs since December 2012 to supply domestic customers – from building supplies to fertiliser to packaging and paper,” he said.
“The market is clearly working, with competitively priced gas continuing to deliver for Australian manufacturers while supporting jobs in the national economy.”
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