Big Al has announced Alcoa will develop a tight gas field in WA - but says it isn't because of the Varanus island disaster, simply because the supply situation for local consumers was bad already.

http://www.abc.net.au/rural/resource/stories/s2274313.htm

Aluminium giant, Alcoa, and Latent Petroleum have announced a joint venture to develop WA's first 'tight gas' field. The project is the Warro Gas Field 80 km's east of Jurien in the state's midwest. If commercially viable, it will be the first tight gas supply in the state. Unlike the usual free flowing gas, tight gas is stored in permeable rocks such as limestone which needs to be fractured so the gas can be released.

Alcoa's managing director Alan Cransberg says if it proves to be commercial viable could provide up to 10 per cent of domestic gas supplies. He denies the gas crisis in WA, triggered by an explosion on Varanus Island last week, is the reason the companies made the announcement today.

Alcoa, which produces alumina and is the states largest commercial user of gas, had to declare force majeur and scale back it's operations this week. Mr Cransberg says even without the explosion, WA is experiencing a serious shortage of gas with supply failing to meet the growing demand. "It's time to act now" he said. By partnering with Latent Petroleum, Alcoa is doings its part to find solutions and create a secure energy future for the state."