8 Aug 2023

Leading Australian energy infrastructure business, APA Group (ASX: APA), has today signed an initial agreement with Empire Energy Group (ASX: EEG) to progress works associated with the development of Empire Energy’s Carpentaria pilot project. The project seeks to connect Empire Energy’s acreage in the Beetaloo Basin to the existing McArthur River Mine Pipeline.

This connection would establish a link from the Beetaloo Basin through to APA’s Amadeus Gas Pipeline, which supplies gas to Darwin, Alice Springs and regional centres in the Northern Territory.

Under the initial agreement, APA will commence pre-engineering studies to potentially develop gathering pipelines, gas processing infrastructure and transmission pipeline infrastructure.

It is planned to agree to a longer-form early works agreement in the coming months. This would then see APA spending up to $5 million on engineering work and potentially early land access approvals in FY2024. The proposed project is subject to further negotiations between APA and Empire Energy, and approvals by each party.

As part of the proposed longer-form arrangements, APA and Empire Energy would also work together to potentially connect the Beetaloo Basin to the east coast gas market.

“Delivering the next wave of domestic gas supply to support Australia’s energy markets will be critical to achieving energy security and delivering the energy transition in an affordable and sustainable way,” APA CEO and Managing Director Adam Watson said.

“As coal continues to exit the Australian energy market, natural gas will be essential for backing renewable energy to ensure we reach our decarbonisation ambitions, without impacting system reliability, security and affordability.

“The Beetaloo development will be critical to achieving this. As we begin these initial studies, we are committed to working closely with landholders, First Nations stakeholders, communities, councils and governments to ensure this project is progressed in a responsible way.

“We look forward to working with Empire Energy in the Beetaloo Basin to progress potential pipeline solutions and help boost gas supply across the Northern Territory and the east coast of Australia.”

END

 

Authorised for release by Amanda Cheney

Company Secretary APA Group Limited

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About APA Group (APA)

APA is a leading Australian Securities Exchange (ASX) listed energy infrastructure business. We own and/or manage and operate a diverse, $22 billion portfolio of gas, electricity, solar and wind assets. Consistent with our purpose to strengthen communities through responsible energy, we deliver approximately half of the nation’s gas usage and connect Victoria with South Australia, Tasmania with Victoria and New South Wales with Queensland through our investments in electricity transmission assets. We also own and operate renewable power generation assets in Australia, with wind and solar projects across the country. APA Infrastructure Limited is a wholly owned subsidiary of APA Infrastructure Trust and is the borrowing entity of APA Group. For more information visit APA’s website, apa.com.au.