Santos Inks More Narrabri Supply MOUs

Australian oil and gas major Santos has inked additional nonbinding memoranda of understanding (MoUs) for gas supply from its proposed Narrabri gas project, in New South Wales.

Under the proposed transactions, Santos would supply building material manufacturer Brickworks with up to 3 PJ/y of natural gas from Narrabri for seven years from 2025, and it would supply specialist gas retailer Weston Energy with 10 PJ/y, for a period of ten years from 2023.

The supply of Narrabri gas was subject to a final investment decision, negotiation and execution of a definitive gas supply agreement and approvals by each party, Santos said on Thursday.

Santos has previously signed nonbinding Narrabri gas supply agreement with Perdaman for a proposed new fertiliser plant at Narrabri, creating a new local industry. Santos would supply some 14.5 PJ/y of natural gas to Perdaman over a period of 20 years.