CLOUGH and GE Oil and Gas Australia have signed a teaming agreement to provide small scale liquefied natural gas fuel solutions in Australasia.

The groups will work together to develop small liquefied natural gas networks for domestic applications such as remote power needs, industrial uses and transportation fuel.

Clough and GE will also help to put together a virtual pipeline network for LNG fuelling across Australasia under the scheme, which has been five years in the making.

Physical pipeline infrastructure is lacking, particularly in remote areas of the region, resulting in a need for a virtual pipeline network to fuel power generation and mining operations in these areas.

The companies aim to provide a LNG fuel solution by converting natural gas into LNG and delivering it to the consumer.

Clough chief executive Kevin Gallagher said that by providing a reliable LNG solution, clients would no longer need to rely on diesel.

“Replacing diesel with LNG fuel for transport and power will provide sustainable economic and environmental benefits, not only for clients, but for all of Australia,” he said.

“LNG fuel is cost-effective, clean and safe and makes use of abundant Australian gas resources. Clough and our partner GE aim to become the enabler for clients to convert from imported diesel to domestically supplied gas,” Mr Gallagher said.

GE has more than 25 small scale LNG plants in operation and development.