Photo by: Bloombeg
PERTH (miningweekly.com) – The A$140-million Eastern Goldfields Pipeline (EPG) was officially opened by Western Australian Mines and Petroleum Minister Bill Marmion on Thursday.
The 293 km EGP is fully owned by Australian infrastructure giant APA Group and extends its interconnected Goldfields gas system to almost 1 800 km.
The EPG connects APA’s Goldfields Gas Pipeline through the lateral pipeline at the Murrin Murrin nickel mine, and extends it past Sunrise Dam to the Tropicana gold mine, owned by gold miner AngloGold Ashanti.
Officially turning on the gas at the Tropicana gold mine, Marmion said the EGP would help energise the Eastern goldfields.
"This is a game-changer for the area, with eight operational or proposed projects in line to benefit, potentially employing 3 000 people,” Marmion said.
“While Sunrise Dam and Tropicana gold mines will reap the rewards of dependable, cleaner fuel, some of the state's most exciting new gold, uranium and rare earths ventures are now within reach of the gas network.”
APA MD Mick McCormack said that the EGP was a shining example of what could be done when industry partners, a progressive government and supportive local authorities and communities collaborated so effectively.
“We are delighted to have delivered on our gas transportation commitments to AngloGold Ashanti, which underpinned development of the EGP and construction links to [the] Sunrise Dam and Tropicana mines.”
The power stations at Sunrise Dam and Tropicana were modified in order to run on natural gas, with diesel to be used as a backup facility.
The Western Australian Chamber of Minerals and Energy (CME) has welcomed the opening of the EGP, with CEO Reg Howard-Smith saying it would underpin the future of the Yilgarn mining province in Western Australia.
“This represents a significant milestone for AngloGold Ashanti’s Australian operations and for several other world-class deposits in the area,” Howard-Smith said.
“The delivery of additional infrastructure to isolated parts of the region will support the feasibility of projects which were previously considered to be unviable while securing a brighter future for many resources sector personnel.”
The Association of Mining and Exploration Companies (Amec) has also welcomed the new 293 km pipeline, with CEO Simon Bennison adding that access to cost-effective regional infrastructure was a significant issue for the industry body’s members owing to the remote location of many resources projects.
“There are nine operational, proposed and potential mining sites that should benefit from this pipeline.
“Replacing diesel fuel and LNG for piped natural gas power generation will provide a cleaner, more reliable and cost-effective energy source. This will encourage more developments in the region, creating jobs and government revenue streams for years to come.”