AGL PULLS OUT OF GLOUCESTER
AGL has announced it won’t proceed with the Gloucester Gas Project.
The company says it’s completed a business case for the controversial Waukivory Pilot Wells that’s shown “the economic returns to support the investment of approximately $1-billion were not adequate. AGL says in the interests of shareholders and customers “this is the most responsible course of action.”
AGL will now relinquish its licence (PEL 285) for the area to the state government and commence a decommissioning and rehabilitation program.
“Exiting our gas assets in New South Wales has been a difficult decision for the company. AGL has invested significantly in these projects and communities over the past seven years for the Gloucester Gas Project, and ten years in the case of the Camden Gas Project.
“We are proud of the dedication and professionalism of our employees and contractors in their efforts to get to this point and our work to bring benefits to the communities in which we operate. We remain committed to leaving a positive legacy in these regions,” said AGL Managing Director and CEO Alan Vesey.
The company says it will establish a $2-million Independent Trust Fund and work with the Gloucester community “to identify investment options to deliver ongoing economic benefit to the region and its communities.”
