Global mining and metal giant Rio Tinto's alumina refineries and Orica's cyanide plant in Australia, both of which are significant gas consumers, are operating at limited capacity as they race to secure supplies after a fire on a crucial gas pipeline managed by retailer Jemena, which serves Gladstone.
As the largest gas distributor in New South Wales, Jemena reported that its teams successfully secured a segment of the Queensland Gas Pipeline that ignited on March 5, 2024. The fire, captured vividly, occurred on a portion of the pipeline between Rolleston and Oombabeer, approximately six hours west of Gladstone. Emergency services were alerted to the substantial blaze in the area around 7:30 am local time.
AEMO has directed the diversion of gas to ensure ample supply for households and communities in Gladstone and Rockhampton, although Jemena has stated that residential customers currently face no shortages. AEMO has instructed large industrial users dependent on the Queensland Gas Pipeline to halt or decrease their gas consumption. Additionally, directions have been issued to redirect gas from the Westside Meridian production facility to Gladstone to bolster supplies.
The Australian Energy Market Operator (AEMO) manages electricity and gas systems and markets across Australia, helping to ensure Australians have access to affordable, secure and reliable energy.
The Spokesperson from AMEO said, "This helped mitigate the impact of the incident and improve the reliability and adequacy of gas supply in the area, including for residential and small commercial customers."
AEMO emphasised its commitment to collaborating with Jemena and major consumers to enhance gas supply while maintaining ongoing consultations with the Queensland government. Rio Tinto's Boyne aluminium smelter and two alumina refineries stand out as significant energy consumers in Australia. While the smelter heavily relies on coal, the Yarwun Alumina and Queensland Alumina refinery depend on gas for their operations.
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