QMEB » QGC’s coal seam gas pipeline up for sale for $4 billion plus
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QGC’s coal seam gas pipeline up for sale for $4 billion plus

QGC gas pipelineQGC’s gas pipeline, connecting their LNG plant at Curtis Island to coal seam gas wells in the Surat Basin, is up for sale for a reported $4 billion plus.

QGC’s parent company, UK-based BG Group, is expecting to receive five bids today, according to Business Spectator, with the front-runners being Hong Kong’s Cheung Kong Infrastructure, a consortium led by Australian-based APA Group, and an Industry Funds Management joint venture, also based here.

The pipeline extends for 540 kilometres across Queensland’s south, and will deliver coal seam gas from wells in the state’s west to QGC’s soon-to-be completed LNG plant on Curtis Island near Gladstone on the eastern seaboard.

At the LNG plant, the gas will be chilled to a liquid for delivery to markets around the world in purpose-built ships. QGC expects to start production next quarter.

BG Group has not divulged the reason for the sale, however The Australian reports that, “BG has been looking to monetise assets and unlock capital to focus on its core explorations globally.”

The sale of the pipeline assets is expected to be finalised by the end of the year.

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