Beach Energy signs gas agreement

Company News

by Jessica Ellerm


Beach Energy Limited (ASX:BPT) has announced it has signed a gas sales agreement with Adelaide Brighton Cement Limited.

Gas will be supplied from Beach’s 100 percent owned Western Flank acreage.

12 months worth of supply is expected to commence on the 1 January 2017, with any production beyond contract volumes to be available for sale via the spot market or for new contracts.

Adelaide Brighton is Beach’s first industrial gas customer, with Beach’ CEO Matt Kay noting the competitive bid process for the deal has affirmed the company’s view gas supply pressure is increasing in the east coast and southern markets.

Beach Energy Limited reported a net loss of $589 million at 30 June 2016.

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