AsianOil: Mereenie JV signs gas deal with Northern Territory government

The joint venture (JV) partners at Mereenie, the Northern Territory's (NT's) largest onshore gas field, have signed a six-year agreement to supply the regional government starting from the beginning of 2025.

The agreement involves a take-or-pay gas sales contract for 40.5 PJ (1.08bn cubic metres), designed to mitigate risks from potential closures of the 90 TJ (2.4mn cubic metre) per day Northern gas pipeline (NGP). It secures all firm production capacity and allows for an expansion of up to 16 TJ per day on days when the NGP cannot deliver to the East Coast network, according to operator Central Petroleum, which announced the deal on July 29.

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