Origin Energy has signed two agreements with Engie and will supply gas to Engie's Pelican Point power station in Adelaide (Australia) for up to 3 years until 2020. This will allow the plant to return to its full capacity (479 MW) and to cope with the summer period peak demand. Origin Energy will source up 240 MW of power to supply its local customers.
Under the first deal, called "Pelican Point agreement", Origin Energy will deliver 8 PJ (approximatively 214 mcm) of natural gas to Engie during 3 years, from July 2017 up to June 2020. The second deal stipulates Origin Energy will deliver up to 25 mcm w to Engie between 2018 and 2019.
The Pelican Point power plant has two generation units and Engie removed one from the grid in 2015 because of the lack of long-term gas supplies. As a result of the deal, the company will perform a US$40m upgrade to improve its efficiency.
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