Gas offer for Gove

ADAM GILES - CHIEF MINISTER

Despite what has been incorrectly reported by the ABC and then repeated by the irresponsible Member for Nhulunbuy today, the 175 PJ gas offer that is now on the table for Gove is an even better offer.

Our original announcement of 195+ PJ of gas for Gove was a dual fuel model which would see us give Rio Tinto a combination of gas and cheaper heavy fuel.

The spilt was roughly 2/3 gas and 1/3 heavy fuel or 129 PJ of gas with 69 PJ of heavy fuel – 195+ PJ of energy through a dual fuel model.

During private meetings in August, Rio Tinto advised they would prefer to just talk about gas and not the dual fuel option because they could source any heavy fuel themselves.

Government officials did some further negotiations and gas field analysis with another company and found an additional 46 PJ of gas and the government offer now stands at 175 PJ.

The current offer is 175 PJ of gas compared to 129 PJ of gas as we announced on Darwin Show Day – clearly an increased offer.

Additional to this offer is up to 78 PJ from another gas company.

The Member for Nhulunbuy Lynne Walker has had a full briefing on all of this from the government and should stop scaring the people of Gove with information that is clearly incorrect.

She should be ashamed of her willingness to engage in such a blatant scare campaign and should acknowledge the genuine efforts by Government, Eni, Santos, APA and ConocoPhillips to improve the gas offer that is on the table.

I am amazed that no matter how much effort is put in by this group of people to help Rio Tinto and the town of Gove, it is never enough for Lynne Walker and she continues to stir up trouble.

Should this deal not go ahead, she will have to accept some of the blame for being so disruptive to the negotiations.

The Territory Government will continue to speak with Rio Tinto in seeking to secure the long term future of Gove.

Source: ProjectLink.com.au

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