New gas for new century

Queensland’s nation leading domestic gas policy is helping to power resources projects in North Queensland.

Senex Energy announced a deal today to supply New Century Resources with natural gas via the Diamantina Power Station in Mount Isa, generating the power required to operate the Century Mine.

Premier Annastacia Palaszczuk said the resources industry continues to play a crucial role in Queensland’s economic recovery from COVID-19.

“Our commitment to ensure gas is available for Australian consumers is incredibly important,” the Premier said.

“It means businesses like New Century Resources can continue to run their day-to-day zinc mining operations, and also look to expand in the future because they are guaranteed supply from companies like Senex Energy.

“As a government we see this cooperation as critical to ensuring operations can continue to support and create jobs in the future.”

Under the three-year deal beginning from the start of next year, Senex will provide about 7 petajoules of natural gas to support New Century’s processing operations at a fixed price, in line with current market levels.

Resources Minister Scott Stewart said having different sectors of the resources industry working together was fantastic.

“The Century Mine is a critical part of our North West Minerals Province and this new deal will help them continue their operations while supporting hundreds of jobs, which is an essential part of our economic recovery plan from COVID-19,” Mr Stewart said.

“This new agreement shows Queensland continues to do the heavy lifting when it comes to domestic gas.

“Our gas industry is incredibly important for mining and manufacturing and this deal between Senex Energy and New Century Resources shows that.

“The Palaszczuk Government has released more than 20,000 square kilometres of land for tender exclusively for the domestic market, with 15 tenures granted.

“In 2018, Senex was awarded the first Australian market supply condition tenure, guaranteeing the gas they extract goes to the Australian market.

“As a government we know domestic gas is important for many parts of Queensland’s industry and it helps not only support but create hundreds of jobs.”

ENDS

Media contact:

Chris Lees (Minister Stewart's office) - 0434 859 940