Joint venture partners Eastern Star Gas and Gastar Exploration have agreed with Australia gas transport giant APA to explore arrangements to bring coalbed methane from the Narrabri project in northern New South Wales.
APA said that it would investigate a plan to tap the proposed pilot production project at Narrabri for delivery to its major markets in New South Wales, Victoria and the Australian Capital Territory. The company said it would initially tie production in to its existing New South Wales transport infrastructure and would expand capacity and build new laterals to supply new regions as output from the projects increased. “This is the first step in a relationship that has significant growth potential, as the Narrabri Coal Seam Gas Project aims to become a major supplier of gas to meet New South Wales’ requirement,” said APA managing director Mick McCormack.
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