$5.4m gas con­tract

Pilbara News - - News - Stu­art McKin­non

Valmec has won a $5.4 mil­lion con­tract to help build the Tubridgi gas-stor­age fa­cil­ity near Onslow for DBP De­vel­op­ment Group.

The scope of work on the project in­cludes multi-dis­ci­plinary field ex­e­cu­tion ser­vices.

Valmec man­ag­ing di­rec­tor Steve Drop­ulich said the com­pany was look­ing for­ward to con­tin­u­ing its strong work­ing re­la­tion­ship with the DDG team.

DDG is 100 per cent owned by DUET Group, owner of the Bun­bury to Dampier gas pipe­line.

DDG an­nounced in De­cem­ber that it would build the big­gest gas-stor­age fa­cil­ity in WA at the de­pleted Tubridgi on­shore gas reser­voir, about 30km south-west of Onslow.

The fa­cil­ity will be con­nected to com­pres­sor sta­tion 2 (CS2) on the Dampier to Bun­bury Nat­u­ral Gas Pipe­line.

CITIC, the owner of the Sino Iron mag­netite project, will be the foun­da­tion cus­tomer of the fa­cil­ity un­der an ini­tial 10-year gas stor­age agree­ment.

Ad­di­tional con­tracts with other cus­tomers are be­ing ne­go­ti­ated.

The Tubridgi stor­age fa­cil­ity is ex­pected to be in op­er­a­tion by June.

The es­ti­mated cost of the fa­cil­ity is $69 mil­lion.

The new con­tract brings Valmec’s or­der book to more than $55 mil­lion.

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