energy investments

APA has interests in a number of complementary energy investments across Australia

Asset and ownership interests

Asset details & APA services

Partners

  • 83 km gas pipeline connecting the
    Otway Gas Plant to the Mortlake
    Power Station MAINTENANCE
  • Retail Employers
    Superannuation Trust

  • 687km gas pipeline from
    Lona and Port Campbell
    in Victoria to Adelaide MAINTENANCE
  • Retail Employers
    Superannuation Trust

  • 132 MW North Brown Hill wind farm in South Australia CORPORATE SUPPORT
  • Infrastructure Capital Group
    Osaka Gas
  • 3,355 km Allgas gas distribution network in Queensland with 99,699 connections CORPORATE SUPPORT
  • Marubeni Corporation
    Deutsche AWM
    OPERATIONAL MANAGEMENT
  • Gas-fired power generation 74 MW
    Gas processing facilities 41 TJ/day
    Electricity transmission cables 243 km
    Three gas pipelines totaling 786 km CORPORATE SUPPORT
  • Marubeni Corporation
    Osaka Gas
    OPERATIONAL MANAGEMENT

APA's ability to manage these investments and provide operational and/or corporate support services gives it flexibility in the way it grows the business and harnesses expertise in-house. It provides options depending on opportunities available, energy market conditions and capital markets environment.

During the year, two of the assets that were previously managed under Energy Investments were acquired in full and transferred to Energy Infrastructure as wholly owned assets of APA.

  • On 31 March 2016, APA completed the acquisition of the 50% interest in Diamantina and Leichhardt Power Stations that it did not already own.
  • On 16 June 2016, APA completed the acquisition of the 94% interest in the Ethane Pipeline Income Trust that it did not already own, by way of an off-market takeover.

Both acquisitions fit with APA's growth strategy to build out its energy infrastructure business and to leverage in-house asset management, development and operational capabilities. Both of these transactions are earnings per security accretive and make sense to APA, in light of market conditions and strategic benefit to APA.

In August 2016, APA acquired a 50% interest in the Mortlake Pipeline via a stake in the newly established SEA Gas (Mortlake) Partnership. The pipeline was commissioned in January 2011, and provides gas to the 550MW open cycle gas turbines at Mortlake Power Station. SEA Gas (Mortlake) Partnership and Origin have entered into long term contracts for the provision of transmission and storage services on the pipeline.

In terms of numbers, EBITDA from continuing investments increased by 4.8% to $22.8 million (FY2015: $21.8 million).