Industry News

Empire Energy MOU Executed with APA Group

• APA Group (ASX: APA) and Empire have today executed an MOU to explore opportunities for the development of Beetaloo mid-stream infrastructure including gas and liquids gathering, processing and pipelines

• Empire and APA will promote a ‘common user’ model for development of Beetaloo Sub-basin infrastructure to drive economic outcomes

• APA’s Northern Strategy envisages expansion of its Amadeus Gas Pipeline connecting to Darwin

• APA’s Eastern Strategy includes development of a new Beetaloo gas pipeline connecting to eastern markets via APA’s continuous gas distribution network

Empire Energy Group Limited (“Empire” or the “Company”) is pleased to announce that it has executed a transportation services memorandum of understanding (“MOU”) with APA Transmission Pty Ltd, a wholly owned subsidiary of APA Group Limited (“APA”). APA is a leading Australian energy infrastructure business and its continuous network of gas pipelines on the east coast access all the principal east coast markets including Gladstone, Brisbane, Mount Isa, Wallumbilla, Sydney, and Melbourne.

APA owns the Amadeus Gas Pipeline in the Northern Territory. APA and Empire have executed the MOU to explore opportunities to enter appropriate development and commercial agreements for APA to build, own and operate gathering, production, processing, and transportation infrastructure for the movement of gas and liquids from Empire’s Northern Territory assets.

APA and Empire will also promote a ‘common user’ model for development of the Beetaloo Sub-basin infrastructure to drive economies of scale benefits and lower cost per unit charges. In addition, APA proposes a staged and incremental development approach for the Beetaloo Sub-basin, thereby leveraging its network to reduce the required initial capital investment and align the pace of upstream development.

The MOU does not restrict Empire from engaging, negotiating and entering into agreements for use of the McArthur River Gas Pipeline.

Download a copy of the media release here

Source: Empire Energy

The integration of solar energy into Australia’s liquid natural gas (LNG) industry could dramatically reduce Australia’s carbon footprint while also creating thousands of additional jobs. 

That’s the conclusion of a report released today by Charles Darwin University (CDU) and NERA (National Energy Resources Australia), the federally funded, independent not-for-profit set up to drive collaboration and growth in the energy resources sector. 

The report, produced with support from Santos, Sun Cable and the Northern Territory Government, used the Santos-operated Darwin LNG facility as a technical case study, to examine the potential to decarbonise LNG facilities at sites across the NT, Qld and WA via electrification and large-scale renewables. 

The report’s authors concluded solar energy integration was potentially economically viable to offset up to 50 per cent of the plant’s emissions from electricity generation. Additional savings of nearly three times that amount could be offset with solar energy by retro-fitting ‘helper motors’ to partially electrify the plant’s compression turbines which currently run on gas. 

Professor Suresh Thennadil, Director of the Energy and Resources Institute at CDU, said: “If this integration was implemented at all of Australia’s LNG plants, the initiative could reduce Australia’s CO2 emissions by around 5m tonnes per annum. That’s around one per cent of Australia’s total emissions” [up to nine per cent of the reductions required to meet Australia’s 2030 targets]. 

The NT Minister for Renewables and Energy Eva Lawler, said the findings showed the potential of solar energy to slash the emissions of the country’s LNG sector. 

“This innovative collaboration demonstrates the opportunity for the Northern Territory — and Australia — to be a leader in the journey to Net Zero. Leveraging our renewable resources to power the LNG sector could reduce the Territory’s emissions, create jobs, and position Territory exports as a low-carbon premium product. This opportunity complements other initiatives being advanced in the Northern Territory, including developing a Carbon Capture and Storage Hub and building a renewable hydrogen industry.” 

Miranda Taylor, CEO of NERA, said that given the massive potential emissions reductions, government investment is needed. 

“With Net Zero goals being set globally, the LNG industry must explore all opportunities to decarbonise if it wants to stay relevant and sustainable for the decades to come. 

“The Australian LNG industry has historically been a relatively high-emissions industry, so seeing how the integration of renewable, solar energy — of which Australia has an abundance — can make dramatic reductions is a big step forward. 

“We now need to see more investment to further investigate and implement using this technology to assist in the decarbonisation of LNG. In doing so, we will take strides in establishing Australian LNG as a premium, low-carbon product in the emerging climate-differentiated LNG market.” 

The report also found that the integration of solar energy into Australia’s LNG industry could increase the nation’s energy security by saving over 97m GJ of gas a year — equivalent to more than 10 per cent of domestic demand — and create over 1,000 construction jobs and 868 ongoing jobs. 

For Sun Cable, who are planning to develop the world’s largest solar farm and battery storage facility in the Northern Territory, the study results provide them with great assurance. 

Sun Cable CEO David Griffin said “This study is an important reinforcement of the viability, impact and environmental benefits of Sun Cable’s Australia-Asia PowerLink project for the Northern Territory, wider Australia and our region. 

“The Australia-Asia PowerLink will help unlock economic opportunities by providing affordable, dispatchable, renewable electricity at scale. We can use our abundant levels of solar energy to remove embedded emissions in our domestic and export industries, as well as directly exporting electricity overseas, making Australia a modern renewable energy superpower.” 

Find out more about the collaborative project here. 

View the final report here.

Source: NERA

Global Energy Ventures Ltd (ASX: GEV, the Company) is pleased to announce the development of a 2.8 GW / 100,000 tpa of green hydrogen export project on the Tiwi Islands, Northern Territory.

Click here to view full media release. 

Download the latest ASX announcement from Central Petroleum here 

Territory Generation has announced its Fleet Transition to assets that are flexible, renewable capable, fast-starting, and mobile to complement the existing power system and support the Territory’s future power needs. Forecasts estimate the transition will significantly reduce carbon emissions and optimise costs for the power system.

The Fleet Transition will be carried out in a cost-effective and staged process that will not impact electricity supply. Territory Generation will retain some legacy assets in standby condition to ensure adequate generation capacity and facilitate response to growth opportunities for the Territory’s industrial sector. The transition aligns with the Territory Government’s Darwin-Katherine Electricity System Plan, which targets 50% renewable energy by 2030 and towards zero net emissions by 2050.

Under the Fleet Transition, Territory Generation has purchased a TM2500 mobile aeroderivative gas turbine from General Electrics for the Channel Island Power Station. The hydrogen-capable TM2500 generator will renew 22 megawatts to the power system and can start in less than 10 minutes. “Territory Generation sought technology to modernise our current fleet that struggles to meet changing grid demands and low power system loads,” said CEO, Gerhard Laubscher. “We plan for the TM2500 to be the first of multiple units to be deployed over the next five years as existing units near their end of life”.

Related media releases:

• Eva Lawler, Minister for Renewables and Energy: New Generators Purchased for the Darwin-Katherine Electricity Grid
• General Electrics: Australia’s Territory Generation Supports Energy Transition with GE’s Aeroderivative Technology

Source: Territory Generation 

The Northern Territory (NT) government has released plans for a export-oriented hydrogen production hub fuelled by solar photovoltaic (PV) and battery storage.

The NT plan compliments the Australian government's national hydrogen strategy, which has marked the territory's capital Darwin as one of its seven hydrogen hubs. The NT sees its vast space and ample solar and wind resources, along with its proximity to trading partners in Asia-Pacific, giving it a competitive advantage in developing a hydrogen industry.

The plan is to build a renewables and hydrogen hub in the region surrounding Tenant Creek, which is almost 1,000km south of Darwin, that will be built in three stages, said the NT government.

It is located in the same region that a 17,000-20,000MW solar farm is proposed to generate electricity for the 4,200km Australia-Asia Power Link from Darwin to Singapore.

Another start-up venture is also working in the proposed renewables/hydrogen region, with Aqua Aerem working on technology to produce water captured from the air and produce green hydrogen, or that derived from renewable sources with no emissions.

The NT also has a renewable energy target of obtaining 50pc of electricity from renewable sources. Renewables only accounted for around 4pc of power output in the 2019-20 fiscal year to 30 June, while 86pc came from gas-fired power plants.

The three-stage plan has around 60MW of solar PV built by 2023, with more solar capacity added and the territory's gas-fired plants starting to retire during 2024-26. The final stage of 2027-30 will result in a total of 320MW of solar, 110MW of battery storage and the retirement of 200MW of thermal power and the addition of 80MW of hydrogen-capable power capacity. The plan also includes hydrogen refuelling stations along NT's highways for long-distance hydrogen haulage and other hydrogen-fuelled vehicles.

The NT government said last month it will carry out a study to build a carbon capture and storage facility at the port of Darwin that could be used for hydrogen exports, as well as for the LNG sector. Darwin is home to the 3.7mn t/yr Darwin LNG and the 8.9mn t/yr Ichthys LNG projects.

Source: argus media

The Hydrogen Hubs Development and Design grant opportunity supports the Australian hydrogen industry to develop and advance clean hydrogen hub concepts to investment ready proposals.

Your proposal should also address the objectives of the Hydrogen Hubs Development and Design Grants:

• advance planning for the construction of a variety of hydrogen hubs across Australia, with a clear intention to stimulate demand and facilitate the production of clean hydrogen for domestic and export markets 

• develop and/or demonstrate the feasibility of hydrogen hubs proposals

• demonstrate employment, knowledge, technological, public and commercial value of regional hydrogen hubs.

For more information:

https://business.gov.au/grants-and-programs/hydrogen-hubs-development-grants

The Strategic Regional Environmental and Baseline Assessment (SREBA) studies were key recommendations from the Scientific Inquiry into Hydraulic Fracturing in the Northern Territory.

The NT Government engaged The University of Queensland (UQ) through a direct procurement process to complete the Scope of Works for the Social, Cultural and Economic SREBA Studies in April 2021.

Delivery of Stage 1, to develop the Scope of Works for Stage 2, has been extended by four weeks to enable completion of stakeholder engagement delayed due to COVID-19 restrictions. Delivery of Stage 1 is now due in November 2021.

The interdisciplinary UQ team, made up of highly-experienced academics has contacted all identified stakeholders for Stage 1. UQ has had direct engagement with over half of these stakeholders and is following up with those remaining.

Much of the work to finalise Stage 1 is now complete, including:

• Data mapping – a desktop review of existing social, cultural and economic data for the Beetaloo region and data gaps
• Stakeholder engagement with over half the identified stakeholders
• Literature review of global best practice
• Establishment of an independent expert advisory panel
• Full UQ human research ethics application process initiated.

The work required to finalise Stage 1, includes:

• Stakeholder engagement with the remaining identified stakeholders
• Define and outline participatory methods for conduct of baseline and strategic assessment (for the next stages in 2022)
• Submit ethics application for review in November 2021.

UQ understands and recognises that on-country engagement is a crucial component of Stage 2. Suitable and appropriate participatory methods for the Social, Cultural and Economic SREBA Studies in 2022 are being informed by stakeholder engagement. Preliminary engagement with service providers, representative organisations and those working closely with communities in the Beetaloo region and their interests is planned for January to March 2022. Extensive on-country and regional engagement is expected between March and September 2022.

Any stakeholders not already engaged, wishing to contribute to Stage 1 can arrange a meeting with UQ via email at sce-sreba@uq.edu.au

Please direct all correspondence to:
Hydraulic Fracturing Inquiry Implementation Taskforce
GPO Box 4396, Darwin NT 0801
T 08 8999 6573
E hydraulic.fracturing@nt.gov.au
W hydraulicfracturing.nt.gov.au

CSIRO, Australia’s national science agency, the Northern Territory Government, industry and engineering companies have joined forces to develop a path towards rapid emissions reduction across the energy sector in Northern Australia.

CSIRO will lead the new consortium in the development of a business case to assess the viability of a large-scale low emissions Carbon Capture Utilisation and Storage* (CCUS) Hub outside of Darwin.

The Hub would both significantly reduce emissions, but also catalyse the growth of new sustainable industries that could continue throughout the energy transition. If built, it would be one of the world’s largest facilities of its kind, open to a wide range of different industries.

If realised, the Hub would enable the development of an interconnected hydrogen industry and the utilisation of the carbon dioxide captured in other industrial processes, such as production of other non-fossil fuel alternatives for transportation. It could also create a blueprint for future low emissions hubs around Australia. 

The business case will assess the Hub’s viability and outline options to significantly reduce the emissions of the Territory’s gas industry, providing a tangible pathway towards the region’s net zero emissions targets.

CSIRO Chief Executive Dr Larry Marshall, said CSIRO’s expertise across the energy domain, along with its deep connection with industry, meant it was well placed to lead the work.

 “As Australia’s national science agency, CSIRO is always looking for ways to bring business and government together to envision and deliver a more sustainable future for some of our largest industries,” Dr Marshall said. 

“The NT Hub could create new jobs and export pathways, and give Australia a global advantage by pushing the boundaries of science and technology to put home-grown innovation into real world demonstration projects, including through our Hydrogen Industry mission.”

With expertise in hydrogen and CCUS, CSIRO will provide impartial scientific advice, coordinate the development of detailed concept designs, build international linkages, and conduct geological research and economic and customer studies. 

The business case will apply best practice learnings from international low emission industrial hub projects. It will also consider all technology solutions and engage with industry and community stakeholder groups as Australia navigates the transition pathway to a low emissions future.    

Industry and engineering companies who have committed to collaborating on the business case include Santos, INPEX, Woodside, Eni, Origin Energy and Xodus. 

Notes to Editors

Quotes from Chief Minister Michael Gunner: 

“The Northern Territory is a natural fit for this investment. We are home to world-class natural gas and solar resources and subsurface carbon dioxide storage capacity, and we are on the doorstep of key international energy export markets.  

“The Territory Government is committed to working to identify ways to rapidly decarbonise existing energy supplies whilst attracting future zero emission industries to the Territory.” 

Quotes from industry and engineering companies

INPEX

Phil Granger, Vice President of Growth at INPEX said: “The INPEX-led Ichthys Joint Venture is proud to explore sustainable energy solutions through the development of the Northern Territory Low Emissions Hub Business Case. Options for reducing greenhouse gas emissions from the Ichthys Field have been identified, and we look forward to progressing these in partnership with the Northern Territory Government, CSIRO and other Hub participants.”

Santos

Kevin Gallagher, Santos Managing Director and Chief Executive Officer said: “The Northern Territory will play a major role in the region’s uptake of carbon capture and storage, recognised by the International Energy Agency and the Intergovernmental Panel on Climate Change as a key part of the global climate change solution. Santos’ experience with the globally-competitive Moomba CCS project in outback South Australia and our proposed project at Bayu-Undan in Timor Leste, will bring invaluable experience to the Northern Territory and we are delighted to partner with the CSIRO, governments and industry along this decarbonisation pathway.”

Eni

“Eni, a founding member of the Oil and Gas Climate Initiative (OGCI), has a 2050 Scope 1, 2 and 3 net zero commitment and is a major gas and solar energy supplier to the Northern Territory. For Eni, the development of a CCS Hub in Darwin would provide a path to a low emissions development of its Evans Shoal gas field. Eni is fully supportive of an NT CCS Hub that could create long term new low-carbon business opportunities for Australia and with the potential for a cross-border collaboration with neighbouring Timor-Leste.”

Woodside

Shaun Gregory, Executive Vice President Sustainability said: “This collaboration has potential to progress the development of a significant CCUS hub in the NT. CCUS technology can deliver large-scale, permanent carbon sequestration and we believe there is no sector better placed to invest and deliver CCUS projects than ours.”

Xodus

Simon Allison, Regional Director of APAC at Xodus said: “Xodus is proud to be a collaborator in this transformational opportunity for the Australian energy industry. Initiatives such as the Northern Territory Low Emission CCUS Hub will ensure we are able to meet domestic and export demand for cleaner energy, while positioning the local industry for rapid decarbonisation. It is an exciting chance for Xodus to contribute to a responsible energy future.”

*Carbon capture, use and storage (CCUS) is an emerging technology with the potential to reduce emissions from industrial processes including resource power plants and heavy industry. The CO2 is separated from other gases and compressed. It can then be permanently stored in underground geological formations or used to create commercial products.

News source: CSIRO 

Sun Cable is progressing development of the Australia-Asia PowerLink (AAPowerLink). An updated factsheet on this project is available here:

TN_Suncable_4pg Community Information Factsheet_Sept21.pdf 

A key activity being undertaken is the Environmental Impact Statement (EIS); which includes a Social Impact Assessment (SIA). Sun Cable has engaged True North Strategic Communication to conduct the SIA, with Dr Jane Munday appointed to manage this scope.

To support the completion of these studies, Sun Cable and True North will be consulting with key stakeholders to understand the opportunities and impacts associated with the development of the AAPowerLink. Feedback will help to inform the planning and design of the project. 

True North will be arranging briefings and community information sessions in Darwin, Litchfield, Tennant Creek, Elliott and communities along the overhead transmission line. A schedule for the greater Darwin region information sessions is available below. The other locations are being scheduled for October.

AAPowerLink - Darwin community information sessions.pdf

Sun Cable are targeting submission of the EIS to the Northern Territory Environment Protection Authority (NT EPA) for public exhibition in early 2022. The NT EPA process will include an opportunity for stakeholder and community comments. The NT EPA will then make a determination on the development proposal, which will be subject to ministerial approval. 

By way of background, Sun Cable self referred the AAPowerLink project to the NT-EPA in October 2020 and proceeded to an EIS. Subsequently, a variation was lodged in August 2021 to support the relocation of the proposed Darwin based infrastructure from Middle Arm to Murrumujuk. These documents and the Terms of Reference for the EIS are available at the link below:

https://ntepa.nt.gov.au/your-business/public-registers/environmental-impact-assessments-register/assessments-in-progress-register/australia-asean-power-link-project. 

Source: Sun Cable