Equus Energy (ASX:EQU) said Alcoa (ASX:AAI) accepted the stage one pre-front-end engineering and design (FEED) deliverables for the Equus gas project on the North West Shelf in Western Australia and approved the start of stage two under the parties' gas sales and funding agreement, according to a Wednesday Australian bourse filing.
Equus has a binding 10-year gas sales agreement with Alcoa to supply 50 terrajoules per day of domestic gas.
Equus will appoint an adviser to lead the partnering process, and the broader partnering process is expected to begin in the December quarter.