Narrabri gas deal gets green light
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A new agreement has been signed which could provide millions of dollars of gas from the Narrabri district to a wider market in New South Wales.
Eastern Star gas has signed a heads of agreement with the APA group that owns the Central West natural gas pipeline linking Dubbo with Tamworth.
Under the agreement, Eastern Star will investigate options to deliver coal seam gas from its Narrabri fields to the pipeline.
If it proves feasible, it will involve construction of a pipeline hooking into the Central West's network.
Eastern Star already has a memorandum of understanding to provide gas to one of the state's biggest power generators, Macquarie Generation, and one with Babcock and Brown who are considering building a gas powered electricity generator in Tamworth.