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AIE requests more LNG cargoes at Port Kembla

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Australian Industrial Energy (AIE) has lodged a ‘Modification’ to its existing Development Consent for its Port Kembla Gas Terminal to meet higher demand for natural gas during peak periods.

As first flagged to the New South Wales Government in August, AIE’s customers claimed that their gas demands during peak season (typically between April and September) exceed the volume approved in the current Consent granted by the NSW Department of Planning.

The request seeks to increase the number of annual LNG cargoes received at the terminal from 26 shipments of standard-sized vessels (170,000 cu m) up to 46 shipments of variable sized vessels to reflect flexibility of demand.

This increase of up to 20 shipments represents around 2% increase in the number of vessels that visit Port Kembla each year.

The project’s FSRU, which will remain moored at Port Kembla’s Berth 101 to receive, store and send out natural gas, will not need to be modified, as it has the capacity to handle the extra throughput, AIE said.

AIE will be required to undertake additional environmental and hazard studies, which will then be assessed by NSW Government agencies and whilst this is expected to extend the completion timeline, the request for additional volume reinforces the project’s critical importance, as a solution to the nation’s near-term gas supply challenges. 

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