Strike Energy says gas power plant near Three Springs still adds Mid West value, despite investment reduction

Strike Energy says it will still play a role for the Mid West, despite scrapping its multi-billion-dollar fertiliser project. Project Haber, which was set to be a $3 billion venture located at a precinct near Three Springs, will be replaced by a peaking gas power plant. A spokesperson from Strike Energy said there were a number of reasons for the shift. “Various factors have contributed to Strike’s proposed peaking gas power plant in the Mid West,” he said. “Some operational and economic factors have changed, including South Erregulla gas reserves, which contributed to Strike re-evaluating the prospects for the company’s South Erregulla reserves within the Perth Basin. “Strike determined that the best course of action was to propose the planned peaking gas power plant to support local stakeholders in the Mid West of WA.” The new plant would generate up to 85MW of electricity and estimated costs range from $120 million to $160m. Despite a significant reduction in investment, the organisation said the Mid West region would still see benefits. “By connecting the proposed peaking gas power plant to the South West Interconnected System, it is envisaged that the peaking gas power plant will play a critical role in powering WA homes and businesses for many years to come,” the spokesperson said. “The proposed peaking gas power plant will be providing much-needed electricity generation to the Mid West, which faces challenges in terms of power outages across the region. “Farmers like many other residents, landowners and businesses in the Mid West will stand to benefit enormously from consistent energy provision resulting from Strikes’ planned peaking gas power plant.” Strike Energy managing director Stuart Nicholls recently said a final investment decision was planned for November, with sales to commence by October 2026.