APA to Build Gas Pipeline, Power Station for Australia Gold Mine

By Robb M. Stewart Features Dow Jones Newswires

MELBOURNE, Australia--APA Group (APA.AU) said Wednesday it will build and operate a 180 million Australian dollar (US$136.5 million) natural-gas pipeline and gas-fired power station that will feed a gold-mining project in Western Australia.

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The energy infrastructure company said it has signed a 15-year transportation agreement to support an electricity-supply deal with the Gruyere project partners, South African miner Gold Fields Ltd. (GFI.AU) and Australia's Gold Road Resources Ltd. (GOR.AU).

Gas will be transported almost 1,500 kilometers to the Gruyere mine using four of APA's interconnected pipelines, the company said.

Commissioning of both the new pipeline and the power station is expected in late 2018, to align with first gold production at the mine in early 2019.

Write to Robb M. Stewart at robb.stewart@wsj.com

(END) Dow Jones Newswires

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June 20, 2017 19:02 ET (23:02 GMT)