Apache is the second largest operated volume producer of oil and gas in the Carnarvon Basin in Western Australia. We operate 16 oil and gas production facilities, providing in excess of 30 percent of the State’s domestic natural gas supply.
Apache settlement with CSBP
Thursday 2 July 2009
Apache Settlement with CSBP
Apache East Spar Pty Ltd and its affiliates (Apache East Spar) announced today that they have reached a settlement with CSBP Limited of matters regarding the 3 June 2008 pipeline explosion at Varanus Island, Western Australia, and other issues that arose prior to that event.
Prior to the explosion, Apache East Spar supplied natural gas to CSBP Limited for use in its chemical manufacturing operations. CSBP Limited is a wholly owned subsidiary of Wesfarmers Limited.
The explosion was an unforeseeable (force majeure) event that interrupted production but resulted in no injuries or environmental damage. Production has been restored to pre-incident levels.
No money exchanged hands as a result of the settlement. Apache East Spar has agreed to enter into a new gas contract at the end of the term of CSBP Limited’s current contract at the existing contract’s price to make up for gas volumes not supplied during the force majeure period.
Further information:
Apache Energy Public Affairs
Perth Office (08) 6218 7460