AN INTERNATIONAL consortium has been awarded a construction contract for the Port Kembla Gas Terminal wharf facility and pipeline.

Project developers Australian Industrial Energy announced the contract had been award to the SCSB joint venture.

The joint venture comprises Spiecapag and Soletanche Bachy, said to be international specialists in the core construction works required to build the terminal wharf facility and pipeline connection to the Cringila Eastern Gas Pipeline connection point six kilometres from the wharf.

Both companies are experienced in major pipeline and infrastructure projects in Australia and overseas.

AIE is building a natural gas import terminal at Port Kembla, with estimated capacity to supply more than 70% of NSW’s natural gas needs.


The award of the contract follows the New South Wales government’s decision to grant development consent for the project in April 2019 and AIE welcoming its first customer, EnergyAustralia, which has signed a five-year contract of at least 15PJs of gas a year from 2021.  

Construction is to start immediately after the AIE joint venture partners finish their final investment decision expected later this year.

The PKGT represents a $250m investment.

Building work is to include dredging, a new wharf within the existing Port Kembla dock and the pipeline to connect the new facility to the east coast gas network at Cringila.

AIE project director Keith Walker said the Port Kembla Gas Terminal was progressing strongly.

“Our selection of SCSB as prime contractor is no exception and we look forward to them bringing their expertise together with the capabilities of the Illawarra region to deliver this most important of projects,” Mr Walker said.

Spiecapag managing director John Walsh said they were pleased to be working on such a strategically important project for NSW.

“We look forward to exploring opportunities for local contractors to also play a part in Australia’s first ever LNG import terminal once we start construction in the second half of the year,” Mr Walshe said.

Soletanche Bachy International president Jean Luc Gobert said they were excited to be “part of this challenging and strategic project which combines our strong local footprint with our global, extensive port experience”.