ABC news
ERM signs gas supply deal with Alcoa
Edited by : AL CIRCLE
1 min read
Energy company ERM Power has secured a deal to sell gas from its Gingin reserves to aluminium giant,Alcoa.
Under the agreement, ERM will provide Alcoa with 15,000-terajoules of gas from its Gingin and Red Gully fields, north of Perth.
Alcoa will make a staged pre-payment of $25-million, allowing ERM to fund the construction of a gas and condensation plant.
ERM says the agreement is a significant milestone which lays a solid foundation for the company's transition from exploration to production of gas.
The company expects to start supplying Alcoa with gas by November next year.
The deal still requires approval from Alcoa's parent company.
Under the agreement, ERM will provide Alcoa with 15,000-terajoules of gas from its Gingin and Red Gully fields, north of Perth.
Alcoa will make a staged pre-payment of $25-million, allowing ERM to fund the construction of a gas and condensation plant.
ERM says the agreement is a significant milestone which lays a solid foundation for the company's transition from exploration to production of gas.
The company expects to start supplying Alcoa with gas by November next year.
The deal still requires approval from Alcoa's parent company.
Previous article
IIFL recommends ‘Add’ on Hindalco Industries
Next articleHarbor Intelligence Cuts Aluminum 2011, 2012 Forecasts
Grow with
AL Circle
