Australian oil and gas company Santos gas signed a new gas sales agreement to supply natural gas to Western Australian energy solutions provider, Kleenheat.
Kleenheat is part of Wesfarmers Chemical, Energy and Fertilisers (WesCEF), a group of businesses that will also utilize the gas.
Under the contract, Santos, which describes itself as Western Australia’s biggest domestic gas producer, will supply more than 16 petajoules of gas from its Varanus Island processing operations over three years from 2021.
Santos Managing Director and Chief Executive Officer Kevin Gallagher said: "In these challenging economic times, this agreement with one of Western Australia’s largest users of natural gas is good for Kleenheat, good for Santos and good for WA, supporting local jobs and business opportunities, and demonstrating our confidence in WA’s future."
“Santos supplies approximately 45 percent of the State’s domestic gas requirements and we are committed to investing in exploration and development of new domestic gas supplies to meet the energy needs of WA households and businesses for the long term.”