Mid West LNG plan moves a step closer

Perth-based Clean Energy Fuels Australia has secured a long-term site lease for a state-of-the-art liquefied natural gas production hub plant near Mount Magnet. If approved, the facility will form part of the Mid West LNG Hub, which has a total cost of more than $100 million. The project is under assessment by the WA Planning Commission as a “significant development” in the new WA Government planning pathway to support economic recovery from COVID-19. CEFA managing director Romano Bernhard said the company hoped to start construction later this year and to deliver the first gas in the second quarter of 2021. “The plant will create employment, boost local business and the economy, and generate further development opportunities across the Mid West region,” he said. “CEFA selected Mount Magnet for its first WA-based LNG hub due to the location’s excellent transport links, existing access to gas pipeline infrastructure, and proximity to remote power customers.” Mr Bernhard said the hub would supply LNG as a lower-emission fuel to generate electricity for mines and remote communities, providing a “greener alternative” to diesel with reduced energy costs and lower greenhouse gas emissions. “Miners will benefit from an immediate reduction of operating cost without any capital expenditure,” he said. “We are also working on innovative solutions to displace diesel consumed in heavy mine haul vehicles with LNG while maintaining the same power delivery needed for mining operations.” Mr Bernhard said the facility was expected to create almost 100 jobs during construction, bringing new skilled roles to the Mount Magnet area. Mount Magnet Shire chief executive Kelvin Matthews said the council fully supported the development. “The council welcomes appropriate developments in the Mount Magnet region,” he said. “Especially those that create long-term jobs, provide opportunities for local residents to develop new skills, improve the competitiveness of existing business, and help to unlock other development opportunities in the region.”