Written by Squadron Energy |
Squadron Energy’s Port Kembla Energy Terminal remains in a strong position to address the forecast gas shortfall in Australia’s eastern states as the country transitions from fossil fuel to renewable energy.
Port Kembla Energy Terminal, Australia’s first LNG import terminal, is not only the most advanced terminal with construction over 90 per cent completed, but the only one to reach financial close. A new gas pipeline connecting the terminal to the Eastern Gas Pipeline was completed late last year.
Critically, Squadron Energy has secured LNG carrier vessel the Hoegh Galleon, a floating storage and regasification unit (FSRU) which will receive imported gas without the need for new gas fields. The FRSU will remain on sublease until required.
Timing of the FSRU’s arrival remains on track for 2026 when Squadron Energy expects to use the terminal for its own firming needs, in addition to commercial customer requirements. The Hoegh Galleon is set to be deployed in the northern hemisphere until 2026, but can be redeployed to import gas into NSW and Victoria for the 2025 winter if required.
Port Kembla Energy Terminal remains the best short-term solution to provide gas to Australia's eastern states without new local gas fields. It can supply up to 500TJ per day, enough to satisfy nearly all of Victoria’s, or 70% of NSW's gas demand.
