OREANDA-NEWS. Australian independent Santos has agreed a deal to supply natural gas to US-listed Alcoa, which is Australia's largest alumina producer.

Santos will supply 82PJ (2.19bn m?) of gas to Alcoa over five years starting in 2018 from the John Brookes field in the Carnarvon Basin offshore Western Australia. The contract has options for two five-year extensions if agreed by both firms.

Santos owns 45pc of the John Brookes field, with the remaining 55pc held by operator US independent Apache.

Western Australia's gas demand will average 410.26-435.44PJ this year, according to forecasts from the state's Independent Market Operator.

The five-year Alcoa contract equates to an average of 16.4PJ/yr, about 4pc of Western Australia's likely gas demand this year.

Alcoa operates three alumina refineries in Western Australia.