The decision by BHP Billiton and partners Apache Energy to develop the Macedon gas field is an exciting step forward for Western Australia.
Premier Colin Barnett said the $1.5billion project would boost natural gas supplies for WA homes and industries and begin the development of a major new deepwater port and industrial estate in the West Pilbara.
"This project will see gas piped 100km to onshore processing facilities and then fed into the Dampier-Bunbury Gas Pipeline," Mr Barnett said.
"The plant will have a production capacity of about 200 million cubic feet of natural gas per day - equivalent to about 20 per cent of the State's current usage.
"When it begins production in 2013, it will provide a fourth source of domestic natural gas and strengthen the security of WA's supply."
The Premier said Macedon was the first project committed to a new 8,000ha Ashburton North Strategic Industrial Estate and Port, that the State Government was developing, 14km from Onslow in the Pilbara.
The Liberal-National Government allocated land for the Macedon project in December 2008 and worked with the company towards this decision.
The Premier met BHP Billiton Petroleum chief Michael Yeager and senior company executives in Houston Texas during his US visit in April this year.
"It was clear the company has a strong commitment to the Macedon project, to working with the State Government and local communities to ensure the project's success," he said.
"I am pleased the company has committed up to $5million towards new and upgraded local community infrastructure."
Mr Barnett said Ashburton North was also being considered by Chevron for its estimated $30billion Wheatstone LNG project and by other potential producers, which will make it one of the State's most important export facilities.
"An exciting era is under way for WA and the West Pilbara, with Onslow and Exmouth poised to benefit from significant new investment and development," he said.
Premier's office - 9222 9475
