Firm commercial proposals received to go ahead with Goldfields pipeline

30/11/94

The Western Australian Government has today received firm commercial proposals to proceed with the Pilbara to Goldfields gas pipeline project.

Premier Richard Court today said the Goldfields Gas Transmission Joint Venture (GGTJV) had submitted a detailed proposal outlining design, construction and operation plans as a show of commitment to the $400 million Gas to the Goldfields pipeline project.

The Premier said the project was pioneering and provided for private sector development of what was expected to be the most important infrastructure project for the State this decade.

"This is an exciting project and, coupled with the forthcoming deregulation of the energy sector, will be a catalyst for growth in Western Australia," he said.

"The project will tap into the vast natural resources of the North-West region and will stimulate a wealth of new industries in its wake."

Under the requirements of the Agreement Act, the proposal was presented to Resources Development Minister Colin Barnett.

Mr Barnett said that the project had now passed a critical milestone.  Final Ministerial approval is expected in late January, following a series of final consultations with relevant Government departments and local authorities leading up to the granting of a pipeline licence.

However, the Minister said the proposed pipeline route had been accepted and environmental approval had been granted.

He said the commitment to the project by the joint venturers was a bold investment decision but in the long-term it would be one that would greatly benefit WA.

Goldfields Gas Transmission Joint Venture, which comprises Western Mining Corporation, Normandy Poseidon and BHP Minerals, won the right to proceed with the Coalition's plans - announced in January 1993 - to build a 1400 kilometre gas pipeline from the Pilbara to the Eastern Goldfields.

Australia's largest gas pipeline operator AGL Pipelines will be the pipeline operator. CMPS&F Pty Limited has been appointed as design, procurement and management consultants.

The project is expected to generate between 500 and 1,000 jobs during the construction phase. Construction is expected to be completed and the first gas supplied to the Goldfields region by the end of 1996.

Based on the final route submitted by the joint venture, the starting point for the pipeline is planned for near Yaraloola - between Onslow and Dampier - in the Pilbara and it would then proceed through the Ashburton Valley, south-east of Paraburdoo, before turning in a southerly direction near Newman. From there it would continue to Kalgoorlie, via Wiluna, Mt Keith, Leinster and Leonora.

The joint venture has given a commitment to rehabilitating any areas disturbed during construction.

Mr Barnett said the proposed route for the pipeline was finalised in consultation with Aboriginal groups, and has received approval under the State's Land (Titles and Traditional Usage) Act.

He said that subject to the remaining approvals being granted, field work for the pipeline would begin in February next year, with construction starting in June.