Squadron Energy, owned by Western Australian billionaire Andrew Forrest, now owns 100 per cent of Australian Industrial Energy (AIE) after buying out Japanese joint venture partners JERA and Marubeni.
With Squadron the owner and operator of AIE, the vehicle used to develop the Port Kembla liquefied natural gas (LNG) import terminal, it plans to accelerate the development of New South Wales project.
Squadron is committed to the expedited development of the gas import terminal with the objective of having the capacity to supply 70 per cent of New South Wale’s gas needs by late 2022.
“JERA and Marubeni have been excellent partners and have both indicated they remain open to future opportunities for targeted involvement in the AIE Port Kembla gas terminal project, including LNG procurement, and the development of an associated gas-fired power station,” Squadron chairman Michael Masterman said.
Marubeni (30.1 per cent) and JERA (19.9 per cent) had held minority stakes in AIE.
AIE has estimated the Port Kembla project will create around 130-150 jobs during construction and between 40-50 ongoing roles.
The NSW Government granted development consent for the project in April 2019 and a modification to the original development consent was approved in April 2020.
The modification will allow the project greater operational flexibility and the ability to better satisfy the market’s need for more gas volumes during cooler months.
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