The project, scheduled for completion in late 2008, will increase the capacity of the pipeline by more than 25% to 93 petajoules (PJ) per year, the company said.
The expansion will support recent gas transportation agreements, including the agreement announced in 2006 with TRUenergy for capacity for its 400MW gas-fired power station at Tallawarra, New South Wales.
The eastern gas pipeline is supporting the growing demand for gas in Sydney, and the future development of the New South Wales power industry, by providing a link to secure gas supplies in the Gippsland Basin, said Peter Magarry, Alinta’s acting CEO.
The pipeline, commissioned in 2000, is 797km long and transports gas from the Gippsland Basin in Victoria to markets in Sydney and regional centers along its route.
Gas is supplied to the pipeline at Longford and Orbost by local gas producers and through the VicHub facility. The current capacity of the eastern gas pipeline is 73PJ per annum.
