Galilee Energy announced that a non-binding Memorandum of Understanding has been signed with APA Group with regards to a potential pipeline to connect the Glenaras Gas Project to east coast gas markets. The terms of the non-binding MoU provide a framework for Galilee and APA to negotiate agreements under which APA could potentially design, develop and operate the infrastructure to connect the Project and utilize APA's existing assets to provide transport to multiple natural gas markets on the east coast. The MoU could enable further discussions regarding documentation to govern the potential pipeline proceeding to detailed design, route selection and costings.

APA's initial concept is to potentially design and develop a pipeline from the Project to the Cooladdi compressor station on the South West Queensland Pipeline. The SWQP is owned and operated by the APA Group. The Cooladdi compressor station is approximately 420 km south of the Glenaras Project area.

The SWQP connects the Moomba gas hub in north east South Australia to the Wallumbilla Gas hub, allowing bi-directional flow of gas between Queensland and southern markets via the Moomba to Sydney Pipeline and the Moomba to Adelaide Pipeline System. At Ballera, there is a connection to the Carpentaria Gas Pipeline which supplies gas to Mount Isa. Galilee's Managing Director, David Casey, noted that the signing of the non-binding MoU is an important step in the potential commercialisation of the Glenaras Gas Project.