APA Group announced the execution of a Design and Development Agreement with CS Energy for twin gas pipelines connecting to CS Energy’s proposed Brigalow Peaking Power Plant in Queensland.

The agreement and development of the pipelines remains conditional and subject to CS Energy and APA internal approval, any necessary external and Government approvals, and finalization of several development matters between APA and CS Energy, including the negotiation and entry into a full form Project Development Agreement and Gas Transportation and Storage Agreement.

The development of CS Energy’s Brigalow Peaking Power Plant is subject to CS Energy internal approvals and any necessary external and Government approvals.

The twin pipelines will connect APA’s Roma Brisbane Pipeline to the H₂-ready gas-fired power station, which is planned to be located at CS Energy’s Kogan Clean Energy Hub near Chinchilla. The twin pipelines will be designed and developed to be H₂ capable, with the ability to potentially convert into a H₂ service in the future.

Subject to the above, APA will develop and own the gas and storage pipelines, which will both be approximately 23 km in length and are targeted for completion in mid to late-2026.

APA’s total construction costs for the project are currently estimated to be at least $140 MM. Final capital expenditure will be subject to detailed engineering design, which is expected to be completed by early CY2025.

“This agreement demonstrates the significant growth opportunities ahead for APA as we continue to leverage our existing gas transmission network and capabilities to progress vital new infrastructure that supports energy reliability and Australia’s transition to renewables,” APA CEO and Managing Director Adam Watson said.