The Queensland government has signed the contract for the $20 million, 28.5km pipeline, which will support the development of the new $70 million Knauf Plasterboard facility which is expected to deliver 200 construction jobs and 40 operational jobs in the Bundaberg region.
Construction of the pipeline will create 45 jobs, with work set to begin within weeks.
“Preliminary work is already underway and pipe delivery is expected by the end of January,” AGN’s chief operating officer Andrew Staniford said.
“A construction contract has been awarded to Zinfra to complete the construction work, and depending on the finish of the wet season, work on the pipeline is expected to start in the first quarter of 2016.”
“The pipeline will have the capacity to deliver a further 0.5 terajoules of gas per day above that required to meet Knauf’s needs of 1.1 terajoules of gas per day, Queensland state development minister Dr Anthony Lynham said.
“The natural gas supply this pipeline will deliver has the potential to fuel new business and industry, and create further new jobs for the Wide Bay Burnett area.”
Dr Lynham said pipeline was expected to be operational in early 2017 and would be the catalyst for further job creation in the Wide Bay and Burnett.
Public consultation is likely to start in the first half of 2016 on the potential for a State Development Area around the Port of Bundaberg.
“Investigations are focusing on the suitability for new industrial development, including consideration of economic opportunities, infrastructure requirements, and potential environmental and community impacts,” he said.