LNG player BG Group said it has completed the sale of its wholly-owned 543 kilometre pipeline network linking natural gas fields and the Queensland Curtis Liquefied Natural Gas export facility to APA Group.
This transaction has resulted in gross proceeds for BG Group of around US$4.6 billion, the company informed in a statement.
The proceeds reflect indexation movements to the long-term tariff payable since the transaction announcement on 10 December 2014, and are in line with the $4.5 to $5 billion range provided in Q1 2015.
Tariffs payable on the pipeline are set to provide a fixed rate of return on the asset base with the primary tariff components escalating annually with US inflation indices. On an annualised basis, the full pipeline tariff is approximately US$360 million.
The sale proceeds will be used to reduce net debt and to fund future growth investment, BG Group said.