Senex Energy has signed a gas sales agreement with ASX newcomer 29Metals, to supply its Capricorn Copper mine with 2.5 petajoules (PJ) of natural gas over three years.
Under the three-year agreement starting January 1, 2022, Senex will supply around 2.5 PJ of natural gas to support mining and processing operations at a fixed price, in line with current market levels.
Terms have also been agreed that can extend gas supply a further two years which would increase sales up to around 4 PJ.
“The Capricorn Copper mine is a critical project in the Queensland Government’s Strategic Blueprint for the North West Minerals Province,” said Senex managing director and chief executive Ian Davies.
“Copper in particular has a large role to play in the production and operation of next generation clean technologies such as electric vehicles, and solar and wind power sectors.
“Senex looks forward to building another strong, long-term and mutually beneficial relationship that supports jobs, the economy and helps meet Australia’s energy demand as it transitions to a lower carbon future.”