Squadron Acquires Oz LNG Import Terminal
Australia's Squadron Energy on October 20 said it had acquired a 100% stake in Australian Industrial Energy (AIE), which is developing the Port Kembla LNG import terminal project in New South Wales (NSW).
AIE was formed in 2018 as a consortium of Squadron and Japanese partners Marubeni Corp and Jera. Squadron has acquired Jera’s 19.9% and Marubeni’s 30.1% interests, bringing its ownership to 100%.
Squadron is committed to developing the terminal expediently, the company said, with the objective of having the capacity to supply 70% of NSW’s gas needs by late 2022.
Earlier this year, AIE secured approval from the state of NSW to expand the terminal's capacity. The A$250mn ($176mn) Port Kembla terminal was declared a critical project by the state in 2018, fast-tracking its approval process. The venture began securing customers and awarding construction contracts last year.
Australian east coast states will need to import LNG to bridge the expected supply shortfall, energy consultancy EnergyQuest said last week.