AGL's New South Wales Facility Ships First LNG

AGL Energy’s Newcastle Gas Storage Facility (NGSF) at Tomago in New South Wales, has shipped its first consignment of LNG.

In a statement published earlier this week, the company said the shipment, 17 tonnes of LNG, has been supplied to a commercial processing facility in the Hunter region.

The NGSF is Australia’s largest LNG facility servicing the domestic market.

AGL’s Executive General Manager, Group Operations, Doug Jackson said initially there would be two to three LNG deliveries a week from the NGSF.

“Not only does the NGSF ensure gas supply security for peak usage periods or supply disruptions, but we can help meet the growing commercial LNG needs of Australian industry as it seeks lower carbon-emitting fuels in a cost-effective manner,” Jackson said.

“The use of LNG may offer significant cost savings over LPG or diesel, it produces 10-15 per cent less CO2 than LPG, and with significantly lower particulate emissions than coal or diesel, it represents an eco-friendly and cost efficient fuel alternative for regional Australian businesses that are located off the gas network,” he said.

The processing plant that converts pipeline natural gas to LNG is capable of processing up to 66,500 tonnes of LNG per year and storing 30,000 tonnes throughout the year. This makes AGL’s NGSF the largest LNG facility in Australia servicing the domestic market.