A joint venture between Woodside and EDL Energy will supply LNG to Strandline’s Coburn mineral sands project in Western Australia as part of a deal revealed on Tuesday.
The partners signed a 10-year deal to supply trucked LNG for power generation to the Coburn project, according to a statement by Strandline on Tuesday.
Under the contract, the Woodside-EDL joint venture will supply LNG via road train from Woodside’s Pluto LNG truck loading facility near Karratha to Coburn’s power generation facilities.
Moreover, Coburn’s mine site power infrastructure features “low-cost, low-emission” solution integrating LNG-fueled generation with solar and battery storage technology, Strandline said.
“The LNG supply contract is based on a 10-year term (with appropriate pricing review and adjustment mechanisms) and means the overall cost of power at Coburn will be lower than forecast in the definitive feasibility study published in June 2020,” the firm said.
Also, the contract is subject to conditions precedent regarding development of the project, Strandline said.
Woodside and EDL started delivering LNG to customers from the Pluto truck loading facility back in 2019.
The facility has the capacity of loading up to 200,000 tonnes of LNG per year, displacing up
to 300 million litres of diesel, according to Woodside.
