Gas Treasure

The importance of the Otway Basin's natural gas reserves was appreciated by partners in the SEA Gas pipeline project at its true value.

Origin Energy, US company TXU and British-owned International Power signed an agreement to increase the diameter of the pipe to 450 millimeters (from 360mm) and boost its supply capacity from 70 petajoules a year to 125.

The upgrade will cost from $300 million to $500 million.

The project is to stimulate more than $1 billion worth of gasfield development and, at the same time, provide basin-on-basin competition with the Cooper Basin, and security of supply and transportation.

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&to=http://www.originenergy.com.au/' target=_blank>Origin Energy

&to=http://www.txu.com/us/default.asp' target=_blank>TXU