Oil and Gas News

Orbost Gas Processing Plant operating at lower rates

OGPP apa group

Cooper Energy’s Orbost Gas Processing Plant (OGPP) averaged a processing rate for June of 45.4 terajoules (TJ) per day.

This average is approximately 18 per cent lower than the average processing rate for May 55.7 TJ per day. A maximum rate of 60 TJ per day was achieved in June.

The OGPP processing rate was reduced to 35.1 TJ per day on average during absorber cleans for approximately 10 days in June. The OGPP has been processing at a steady rate of 55 TJ per day between the last absorber cleans.

Lower rates in June were attributed to the (hydrogen sulfide) H2S polishing unit coming offline from 8 June. APA are currently in the process of undertaking a root cause analysis to understand why the polisher unit’s performance has degraded.

This analysis, once completed, will guide the next steps to bring the polisher unit back online.

Cooper Energy anticipates completing its acquisition of the OGPP from APA in late July of 2022. From the completion of this onwards, APA will operate the OGPP on Cooper Energy’s behalf under a transitional services agreement until the plant’s major hazard facilities license is transferred to Cooper Energy.

During this period, there will be a continuity of key people, systems and processes under Cooper Energy’s integration plan.

In June, gas prices in the Victorian and Sydney spot marks continued to increase, averaging $38.82 per gigajoule and $40.70 per gigajoule respectively for the month. During June, Cooper Energy sold 109 TJ of production surplus to gas sales agreement nominations into the spot market at prices aligned with these averages.

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