Strandline Resources has selected Australia LNG supplier Woodside and global sustainable energy producer EDL to provide a fully integrated energy solution for the Coburn mineral sands project, in Western Australia (WA).
A non-binding proposal has been signed between the parties for the development of what it claims to be the world’s first trucked integrated 27MW hybrid gas and renewable power solution.
The trucked LNG, storage and power station facility will feature gas and diesel back-up generators as well as solar and battery technology.
For the new energy solution, EDL will provide turnkey expertise to the Coburn mineral sands project’s power station and LNG storage and re-gasification facilities, which will receive LNG from Woodside’s Pluto LNG truck loading facility near Karratha, WA.
Earlier, Woodside and EDL Joint Venture (WEJV) was formed to provide clean, reliable and affordable LNG to market.
Strandline expects the WEJV to provide long-term safe, reliable and highly efficient energy solution for the Coburn project.
Power purchase agreement to be signed in coming months for Coburn project
Construction on the Coburn project is subject to signing contract documentation in the form of a 15-year power purchase agreement, which is expected in the coming months, and finalisation of financing.
Strandline has already signed major construction and operations contracts for the Coburn mineral sands project, which is claimed to host exceptional zircon and titanium mineral sands products.
Strandline managing director Luke Graham said: “We are pleased to establish this relationship with Woodside and EDL to provide a turn-key, low-cost fuel supply and generation solution for the Coburn Project.
“The Company looks forward to finalising this agreement as well as other major construction and operations contracts over the coming months.”
Strandline is also advancing product offtake and project financing activities, including the potential debt financing from Northern Australian Infrastructure Facility (NAIF).
Earlier this year, Woodside and EDL have signed a 15-year agreement with Sheffield Resources for the supply and delivery of 1,950 terajoules per annum of LNG for the latter’s Thunderbird Mineral Sands Project in Australia.
