Australian Industrial Energy (AIE) plans to develop New South Wales’ (NSW) first liquefied natural gas (LNG) import terminal at Port Kembla, near Wollongong.

NSW currently imports more than 95% of the natural gas it uses from other States. In recent years, gas supplies to the Australian east coast market have tightened and natural gas prices have increased, impacting industrial and domestic users. Several recent economic studies have predicted significant future gas shortfalls for NSW.

The proposed Port Kembla Gas Terminal provides a simple, flexible solution to NSW's gas challenges. Importantly, the Project provides an immediate solution, with the ability to make 100 petajoules of natural gas available by early 2020, subject to planning approvals.

LNG will be sourced from worldwide suppliers and transported by LNG carriers to the Port, where it will be loaded onto a floating storage and regasification unit (FSRU), still in liquid form, and then converted back into a gaseous State suitable for input into the NSW gas transmission network.

With a forecast capital cost of between A$200 and A$300 million, it is estimated that the Project will create around 130 to 150 jobs during construction and between 40 to 50 ongoing roles during operations.

Project fast factsDesign LNG import facility comprised of a floating storage and regasification unit (FSRU), associated wharf facilities and short connecting pipeline infrastructure

Location Port Kembla, near Wollongong, New South Wales

Outputs 100 petajoules of natural gas each year

Proponents Australian Industrial Energy – a consortium comprised ofSquadron Energy, MarubeniCorporation and JERA Co Inc

Anticipated timeline Subject to regulatory approval timeframes, Australian Industrial Energy aims to have first gas to market in 2020

Investment Forecast capital cost of between A$200 and A$300 million

Workforce requirements • Up to 130 - 150 jobs during

construction• Between 40 - 50 ongoing jobs

during operations

About Australian Industrial Energy

Australian Industrial Energy was formed in 2017 by a world-class consortium of Australian and international companies with extensive global expertise and experience in the energy sector. The consortium is comprised of Squadron Energy, Marubeni Corporation and JERA Co Inc.

• Squadron Energy is a privately owned energy company ledby leading Australian industrialist Andrew Forrest

• Marubeni Corporation is a major Japanese trading andinvestment business with significant energy sector expertiseand operations and interests in over 66 countries includingLNG import terminals, gas pipelines and power investments

• JERA Co Inc is a joint venture between Tokyo Electric andChubu Electric, which represents Japan’s largest electricitycompany and together they are responsible for around77 gigawatts of thermal power, which is roughly 1.5 timesthe entire generating capacity of the Australian NationalElectricity Market (NEM). JERA is also the largest buyer ofLNG in the world, operates eight import terminals and itsown fleet of LNG carriers.

Project overview

Port Kembla Gas Terminal

Contact usPlease visit our website at www.ausindenergy.com for more information.

PortKembla LNG Terminal_factsheeets_Qld_0518_RevD.indd 10 1/06/2018 11:42:59 AM

AIE

Project locationPort Kembla was chosen after a comprehensive site evaluation process looking at three possible NSW locations. Port Kembla is advantageous as it is an existing large industrial port facility, has appropriate associated infrastructure and is located nearby the existing NSW gas pipeline network. In addition, the Project has the potential to contribute to the future diversification of Port activities and the attraction of new investment into the industrialised areas of the Port.

Project designThe Project consists of four key components which would all be located within industrial land declared under the State Environmental PlanningPolicy (Three Ports) 2013. These components are:

• LNG carrier vessel – there are hundreds inoperation transporting LNG from productionfacilities to demand centres globally

• Floating storage and regasification unit(FSRU) - a vessel which is moored at a berthin the Port. There are around 30 of thesecurrently in operation worldwide with afurther 75 ordered or in feasibility planning

• Wharf facilities – such as offloading armswhich move LNG from the LNG Carrier intothe FSRU unit

• Pipeline – a short gas pipeline connectionfrom the FSRU will be constructed to theexisting east coast gas transportationnetwork.

At present it is envisaged that an LNG shipment every two to three weeks would be required and provide for an annual supply of up to 100 petajoules of gas. Supply could be increased further to around 140 to 150 petajoules per annum through a slight increase in LNG delivery schedules and pipeline upgrades. It will take 10 to 12 months to complete construction and other works in order to start operations at the Port.

Wollongong

Windang

Lake Illawarra

Bellambi

East Corrimal

North Wollongong

Berkeley

Lake Heights

Primbee

Port Kembla

Port Kembla Gas Import Terminal

PortKembla LNG Terminal_factsheeets_Qld_0518_RevD.indd 12 1/06/2018 11:42:59 AM

With the selection of Port Kembla as the preferred site for the LNG import terminal, AIE is looking forward to continuing and extending its engagement with the local community. Regular Project updates can be obtained from our website and AIE will also be proactively reaching out to various stakeholders and community groups to answer any questions they might have in relation to the Project. In addition, community information sessions will be held in the local area to provide a more informal opportunity for the community to engage with the Project team and better understand the Project. We also welcome direct approaches from local community or residential groups who may wish to receive a briefing.

Project timeline

The Project is currently undertaking a front-end engineering design (FEED) study. A FEED study comes after the initial concept feasibility study which was recently completed (May 2018). The FEED design focuses on detailed technical engineering, enviroommunity consultationnmental, safety and other studies required to ensure the Project can be delivered to world-class standard.Subject to regulatory approval timeframes, Australian Industrial Energy aims to have first gas to market in 2020.

Community consultation

AIE

Project locationPort Kembla was chosen after a comprehensive site evaluation process looking at three possible NSW locations. Port Kembla is advantageous as it is an existing large industrial port facility, has appropriate associated infrastructure and is located nearby the existing NSW gas pipeline network. In addition, the Project has the potential to contribute to the future diversification of Port activities and the attraction of new investment into the industrialised areas of the Port.

Project designThe Project consists of four key components which would all be located within industrial land declared under the State Environmental Planning Policy (Three Ports) 2013. These components are:

• LNG carrier vessel – there are hundreds inoperation transporting LNG from productionfacilities to demand centres globally

• Floating storage and regasification unit(FSRU) - a vessel which is moored at a berthin the Port. There are around 30 of thesecurrently in operation worldwide with afurther 75 ordered or in feasibility planning

• Wharf facilities – such as offloading armswhich move LNG from the LNG Carrier intothe FSRU unit

• Pipeline – a short gas pipeline connectionfrom the FSRU will be constructed to theexisting east coast gas transportationnetwork.

At present it is envisaged that an LNG shipment every two to three weeks would be required and provide for an annual supply of up to 100 petajoules of gas. Supply could be increased further to around 140 to 150 petajoules per annum through a slight increase in LNG delivery schedules and pipeline upgrades. It will take 10 to 12 months to complete construction and other works in order to start operations at the Port.

Wollongong

Wingang

Lake Illawarra

Bellami

East Corrimal

North Wollongong

Berkeley

Lake Heights

Primbee

Port Kembla

Port Kembla Gas Import Terminal

PortKembla LNG Terminal_factsheeets_Qld_0518_RevD.indd 12 1/06/2018 11:42:59 AM

With the selection of Port Kembla as the preferred site for the LNG import terminal, AIE is looking forward to continuing and extending its engagement with the local community. Regular Project updates can be obtained from our website and AIE will also be proactively reaching out to various stakeholders and community groups to answer any questions they might have in relation to the Project. In addition, community information sessions will be held in the local area to provide a more informal opportunity for the community to engage with the Project team and better understand the Project. We also welcome direct approaches from local community or residential groups who may wish to receive a briefing.

Project timeline

The Project is currently undertaking a front-end engineering design (FEED) study. A FEED study comes after the initial concept feasibility study which was recently completed (May 2018). The FEED design focuses on detailed technical engineering, enviroommunity consultationnmental, safety and other studies required to ensure the Project can be delivered to world-class standard.Subject to regulatory approval timeframes, Australian Industrial Energy aims to have first gas to market in 2020.

Community consultation

AIE

Project locationPort Kembla was chosen after a comprehensive site evaluation process looking at three possible NSW locations. Port Kembla is advantageous as it is an existing large industrial port facility, has appropriate associated infrastructure and is located nearby the existing NSW gas pipeline network. In addition, the Project has the potential to contribute to the future diversification of Port activities and the attraction of new investment into the industrialised areas of the Port.

Project designThe Project consists of four key components which would all be located within industrial land declared under the State Environmental Planning Policy (Three Ports) 2013. These components are:

• LNG carrier vessel – there are hundreds inoperation transporting LNG from productionfacilities to demand centres globally

• Floating storage and regasification unit(FSRU) - a vessel which is moored at a berthin the Port. There are around 30 of thesecurrently in operation worldwide with afurther 75 ordered or in feasibility planning

• Wharf facilities – such as offloading armswhich move LNG from the LNG Carrier intothe FSRU unit

• Pipeline – a short gas pipeline connectionfrom the FSRU will be constructed to theexisting east coast gas transportationnetwork.

At present it is envisaged that an LNG shipment every two to three weeks would be required and provide for an annual supply of up to 100 petajoules of gas. Supply could be increased further to around 140 to 150 petajoules per annum through a slight increase in LNG delivery schedules and pipeline upgrades. It will take 10 to 12 months to complete construction and other works in order to start operations at the Port.

Wollongong

Wingang

Lake Illawarra

Bellami

East Corrimal

North Wollongong

Berkeley

Lake Heights

Primbee

Port Kembla

Port Kembla Gas Import Terminal

PortKembla LNG Terminal_factsheeets_Qld_0518_RevD.indd 12 1/06/2018 11:42:59 AM

With the selection of Port Kembla as the preferred site for the LNG import terminal, AIE is looking forward to continuing and extending its engagement with the local community. Regular Project updates can be obtained from our website and AIE will also be proactively reaching out to various stakeholders and community groups to answer any questions they might have in relation to the Project. In addition, community information sessions will be held in the local area to provide a more informal opportunity for the community to engage with the Project team and better understand the Project. We also welcome direct approaches from local community or residential groups who may wish to receive a briefing.

Project timeline

The Project is currently undertaking a front-end engineering design (FEED) study. A FEED study comes after the initial concept feasibility study which was recently completed (May 2018). The FEED design focuses on detailed technical engineering, enviroommunity consultationnmental, safety and other studies required to ensure the Project can be delivered to world-class standard.Subject to regulatory approval timeframes, Australian Industrial Energy aims to have first gas to market in 2020.

Community consultation

NSW Ports - Maritime Centre*FSRU in port (illustrative only)

Outer Harbour

Inner Harbour

AIE Port Kembla Gas Terminal

AIE

Project locationPort Kembla was chosen after a comprehensive site evaluation process looking at three possible NSW locations. Port Kembla is advantageous as it is an existing large industrial port facility, has appropriate associated infrastructure and is located nearby the existing NSW gas pipeline network. In addition, the Project has the potential to contribute to the future diversification of Port activities and the attraction of new investment into the industrialised areas of the Port.

Project designThe Project consists of four key components which would all be located within industrial land declared under the State Environmental Planning Policy (Three Ports) 2013. These components are:

• LNG carrier vessel – there are hundreds inoperation transporting LNG from productionfacilities to demand centres globally

• Floating storage and regasification unit(FSRU) - a vessel which is moored at a berthin the Port. There are around 30 of thesecurrently in operation worldwide with afurther 75 ordered or in feasibility planning

• Wharf facilities – such as offloading armswhich move LNG from the LNG Carrier intothe FSRU unit

• Pipeline – a short gas pipeline connectionfrom the FSRU will be constructed to theexisting east coast gas transportationnetwork.

At present it is envisaged that an LNG shipment every two to three weeks would be required and provide for an annual supply of up to 100 petajoules of gas. Supply could be increased further to around 140 to 150 petajoules per annum through a slight increase in LNG delivery schedules and pipeline upgrades. It will take 10 to 12 months to complete construction and other works in order to start operations at the Port.

Wollongong

Wingang

Lake Illawarra

Bellami

East Corrimal

North Wollongong

Berkeley

Lake Heights

Primbee

Port Kembla

Port Kembla Gas Import Terminal

PortKembla LNG Terminal_factsheeets_Qld_0518_RevD.indd 12 1/06/2018 11:42:59 AM

With the selection of Port Kembla as the preferred site for the LNG import terminal, AIE is looking forward to continuing and extending its engagement with the local community. Regular Project updates can be obtained from our website and AIE will also be proactively reaching out to various stakeholders and community groups to answer any questions they might have in relation to the Project. In addition, community information sessions will be held in the local area to provide a more informal opportunity for the community to engage with the Project team and better understand the Project. We also welcome direct approaches from local community or residential groups who may wish to receive a briefing.

Project timeline

The Project is currently undertaking a front-end engineering design (FEED) study. A FEED study comes after the initial concept feasibility study which was recently completed (May 2018). The FEED design focuses on detailed technical engineering, enviroommunity consultationnmental, safety and other studies required to ensure the Project can be delivered to world-class standard.Subject to regulatory approval timeframes, Australian Industrial Energy aims to have first gas to market in 2020.

Community consultation

Port Kembla Gas Terminal

AIE

Project locationPort Kembla was chosen after a comprehensive site evaluation process looking at three possible NSW locations. Port Kembla is advantageous as it is an existing large industrial port facility, has appropriate associated infrastructure and is located nearby the existing NSW gas pipeline network. In addition, the Project has the potential to contribute to the future diversification of Port activities and the attraction of new investment into the industrialised areas of the Port.

Project designThe Project consists of four key components which would all be located within industrial land declared under the State Environmental Planning Policy (Three Ports) 2013. These components are:

• LNG carrier vessel – there are hundreds inoperation transporting LNG from productionfacilities to demand centres globally

• Floating storage and regasification unit(FSRU) - a vessel which is moored at a berthin the Port. There are around 30 of thesecurrently in operation worldwide with afurther 75 ordered or in feasibility planning

• Wharf facilities – such as offloading armswhich move LNG from the LNG Carrier intothe FSRU unit

• Pipeline – a short gas pipeline connectionfrom the FSRU will be constructed to theexisting east coast gas transportationnetwork.

At present it is envisaged that an LNG shipment every two to three weeks would be required and provide for an annual supply of up to 100 petajoules of gas. Supply could be increased further to around 140 to 150 petajoules per annum through a slight increase in LNG delivery schedules and pipeline upgrades. It will take 10 to 12 months to complete construction and other works in order to start operations at the Port.

Wollongong

Wingang

Lake Illawarra

Bellami

East Corrimal

North Wollongong

Berkeley

Lake Heights

Primbee

Port Kembla

Port Kembla Gas Import Terminal

PortKembla LNG Terminal_factsheeets_Qld_0518_RevD.indd 12 1/06/2018 11:42:59 AM

With the selection of Port Kembla as the preferred site for the LNG import terminal, AIE is looking forward to continuing and extending its engagement with the local community. Regular Project updates can be obtained from our website and AIE will also be proactively reaching out to various stakeholders and community groups to answer any questions they might have in relation to the Project. In addition, community information sessions will be held in the local area to provide a more informal opportunity for the community to engage with the Project team and better understand the Project. We also welcome direct approaches from local community or residential groups who may wish to receive a briefing.

Project timeline

The Project is currently undertaking a front-end engineering design (FEED) study. A FEED study comes after the initial concept feasibility study which was recently completed (May 2018). The FEED design focuses on detailed technical engineering, enviroommunity consultationnmental, safety and other studies required to ensure the Project can be delivered to world-class standard.Subject to regulatory approval timeframes, Australian Industrial Energy aims to have first gas to market in 2020.

Community consultation