Premier and State Development Minister Colin Barnett has celebrated the completion of a 270 kilometre gas pipeline supplying gas to Fortescue Metals Group’s (FMG’s) Solomon mining hub.
The Fortescue River Gas Pipeline is the longest pipeline to be constructed in the State for more than a decade, and connects the Solomon operations near Tom Price to the Dampier to Bunbury Natural Gas Pipeline.
Mr Barnett today attended an event to mark the recent commencement of operations for the pipeline.
“This $183 million project allows FMG to cut costs by converting the power station at its Solomon hub from diesel to gas, saving about US$20 million (A$25 million) per year,” he said.
The pipeline project was a joint venture between the majority owner of the Dampier Bunbury pipeline, DUET Group; and TransAlta Corporation, which owns and operates the power station at the Solomon hub.
“With an ultimate capacity of 300 terajoules per day, the pipeline also represents a significant addition to gas supply in the Pilbara, and opens up new opportunities for energy suppliers and consumers,” the Premier said.
“I congratulate all the companies and government agencies involved for the quick delivery of this project, which only commenced construction last year." Fact File
- The Fortescue River Gas Pipeline is a 16 inch diameter, 270km buried pipeline that runs from the Dampier to Bunbury pipeline compressor station south of Karratha, through to the Solomon mine operations
- The pipeline was constructed by DBP Development Group, a subsidiary of DUET Group, and TEC Pilbara Pty Ltd, a subsidiary of TransAlta Corporation
- The DBP Development Group also constructed the 110km Wheatstone Ashburton West Pipeline for Chevron Australia, which was completed in December 2014
- The Dampier to Bunbury Natural Gas Pipeline has been in operation since 1984, and was privatised in 1998. It was purchased by the DUET Group in 2004