Gas and engineering company BOC, a Linde company, announced it will build a multi-million dollar carbon dioxide processing facility in Longford, Victoria as part of a new long-term CO2 supply agreement with the Gippsland Basin Joint Venture.
The new facility will have the capacity to produce more than 60,000 tonnes of beverage-grade liquid CO2 annually, making it the largest merchant CO2 production facility in the South Pacific.
It will significantly increase long-term CO2 reliability and supply for many Australian industries.
The Gippsland Basin Joint Venture is a 50-50 joint venture between Esso Australia Resources Pty Ltd (Esso) and Woodside Energy Pty Ltd. Under the agreement, the Gippsland Basin Joint Venture will capture and send CO2 from its Longford Gas Conditioning Plant directly to BOC’s new facility.
John Evans, managing director of BOC South Pacific said the new facility would increase BOC’s capacity to supply the highest standard of carbon dioxide to customers in Australia and New Zealand.
“BOC is building new infrastructure to ensure long-term supply security of an essential gas used in many industries including food processing and packaging, beverage, hospitality, desalination, medical, manufacturing and water treatment,” said Evans.
“This significant investment is part of our commitment to develop local supply partnerships and expand our production capability to meet the future needs of our customers and support growth across the South Pacific Region.
“With the latest technologies and processes in quality control and efficiency, BOC’s new CO2 facility will exceed internationally recognized food and beverage standards.”
Esso Australia chairman Dylan Pugh said the agreement demonstrates how Esso is taking a leading role in decarbonising its operations while still providing products that are essential for everyday life.
“Through this partnership with BOC, we will transform what is effectively a waste stream into a product of beneficial use for Australian businesses in the food, beverage, hospitality, manufacturing and medical industries,” he said.
“Esso has a long history of providing reliable energy to Australia, whether it’s powering industry, heating our homes, or fueling our barbecues, and this partnership will also see Gippsland put the fizz in our drinks.”
Woodside Energy executive vice president of marketing and arading Mark Abbotsford said the new agreement was a great example of how businesses can work together to improve societal and environmental outcomes.
“Beyond providing energy to keep lights on and support industry, this is one of the many ways that Woodside Energy is collaborating to ensure the reliable and sustainable supply of essential products the community needs and enjoys,” said Mr Abbotsford.
“This agreement will support key sectors in our economy, new opportunities for regional jobs as well as our own decarbonization goals.”
Wellington Shire Council Mayor, Cr Ian Bye welcomed BOC to the region in its partnership with Esso, which already has a long-standing relationship with the local community.
“This partnership will result in real positives for our region, not only in the jobs created during construction, but also in the role our community will play in providing this important product to the beverage industry,” said Cr Bye.
Scoping for the project is well underway with construction expected to commence in 2022, subject to regulatory approvals. Around 60 jobs will be created during the construction phase, with the facility expected to be operational in 2024.