The Australian Pipeline Trust (APA) has today agreed to terms for the transportation of up to 16 PJ p.a of gas to Incitec Pivot Limited (IPL) for a period of 10 years commencing in 2007 on the Roma to Brisbane Pipeline system (RBP).
IPL’s plant at Gibson Island is the only domestic Australian manufacturer of Urea and its products are sold into the local Australian market. IPL’s existing gas supply and
transportation arrangements terminate in 2007.
APA Managing Director Jim McDonald said: “APA is pleased to continue its long
relationship with IPL which has been a major customer of our RBP for over 30 years. We are very happy to play our part in ensuring that a significant manufacturer and employer in Queensland continues to operate, and that fewer imported products will be required by Australian farmers.”
“This agreement is consistent with APA’s core objectives of securing long term firm
arrangements with commercially sound counter-parties. This deal will mean that the RBP will be fully utilised to 2017 and is likely to initiate the next stage of expansion for the pipeline.”
“IPL will be sourcing gas predominantly from coal seam gas producers in South Eastern Queensland. This will stimulate growth and competition in gas supply in the eastern Australia market and indirectly benefit APA’s other eastern pipelines. In addition, APA has the opportunity for further growth through investing in gas processing and associated facilities to support the CSG producers who will then focus their efforts in proving and developing gas reserves.”

J K McDonald
Managing Director