Leigh Creek Energy Ltd (LCK) is an emerging gas company focused on developing its Leigh Creek Energy Project (LCEP), located in South Australia, which will produce high-value products, such as electricity, methane and fertilizer from the remnant coal resources at Leigh Creek.
LCK has signed a heads of agreement (HoA) with Shanghai Electric Power Generation Group, which is the main business sector of Shanghai Electric Group Co. Ltd.
In relation to the joint development of a power plant in South Australia, in accordance with the HOA, LCK and the company would work together to establish a joint venture company in South Australia, with the intent to build, own and operate a gas-fired power plant.
Commenting on the signing of the HoA, Justyn Peters, Executive Chair of LCK said: “We are very pleased to have developed our relationship to the point where we have now agreed to sign a HoA. The generation of base load power through a gas fired power station is important both to our company and to South Australia. We see this as a great first step in our development as an energy company.”
Peters concluded: “The building, owning and operating of a power station ensures the success of our project, but also has the ability to provide cheaper, reliable power to industry and mines in South Australia. I look forward to updating the market with the progress of this project and additional news.”
This agreement with Shanghai Electric, one of the largest companies in the world in its sector with global operations and alliances, is a major endorsement of LCK’s LCEP.
Edited from press release by Harleigh Hobbs
Read the article online at: https://www.worldcoal.com/coal/06042016/leigh-creek-energy-signs-hoa-with-shanghai-electric-530/