Channel Infrastructure secures Marsden Point upgrade contract

Channel Infrastructure has secured a new seven-year contract with its customers for the upgrade of its Marsden Point infrastructure.

The upgrade, which is estimated to cost between $12 million and $15m, will allow for the storage and export of transmix at Marsden Point.

The contract includes two five-year rights of renewal, which can be exercised by the customers on the same terms.

The company expects the upgrade to generate approximately $3m in incremental revenue per year, indexed to the Producer Price Index.

Revenue from the contract is set to begin in late the fourth quarter of 2024.