VICTORIA focussed Cooper Energy has signed a binding gas sales agreement with EnergyAustralia for the supply of 5 PJ per annum from the Sole gas field for a minimum of 5 years.
The agreement, which has a provision for a 3 year extension, is conditional upon Cooper’s completion of the previously announced transaction to acquire Santos Ltd’s Victorian Gas assets and an affirmative final investment decision (FID) for Sole.
The acquisition of Santos’ share in Sole will result in Cooper Energy holding a 100% equity in the field, which is assessed to contain Contingent Resources (2C) of 2411 PJ of gas. The agreement with EnergyAustralia is the fourth signed by Cooper Energy for the field and takes the annual contracted quantity to 14.6 PJ of the 25 PJ annual production anticipated from the field for the first 8 years.
“Our agreement to acquire Santos’ Victorian assets has substantially expanded our gas contracting opportunity and we are delighted to add EnergyAustralia to our portfolio of gas supply customers,” Cooper Energy MD David Maxwell said.
“There is keen interest in contracting gas from Sole and we expect to finalise additional off-take contracts within the next few months. The market outlook is positive and, thanks to the strong support and commitments we have received from major energy retailers and industrial users, we are close to finalising a quality gas contract portfolio ahead of FID for the Sole project.” he added
David Maxwell, Cooper’s MD.