Adelaide Brighton Cement Ltd, a wholly-owned subsidiary of Adelaide Brighton Ltd, has signed a gas purchase agreement with Beach Energy Ltd for the delivery of exMoomba of processed sales gas from Beach's 100 per cent owned Western Flank acreage.

Supply of gas over a 12-month term is expected to commence on 1 January 2017, with the agreement replacing Beach's existing ex PEL 106 raw gas sales contract. Any production beyond contract volumes will be available for sale via the spot market or new contracts.

Beach CEO, Matt Kay, said: "We are pleased to announce our agreement with Adelaide Brighton, a fellow South Australian company and Beach's first industrial gas customer. This agreement will see South Australian gas delivered to local operations."