Australia could become a top-three global liquefied natural gas (LNG) exporter if up to 12 new LNG projects currently under consideration get the ‘green light’.
This news was announced by the chief executive of the Australian Petroleum Production & Exploration Association (APPEA), Belinda Robinson, last month at the 24th World Gas Conference in Argentina.
According to Robinson, Australia is on the cusp of a “game-changing shift” as plans advance for the largest expansion of any LNG exporter in the world over the next ten years. “Right now, Australia has as many as 12 LNG projects under consideration. If they proceed, these projects could quadruple our export capacity and put Australia in the top-three of LNG exporters,” she said.
This opens-up a phenomenal amount of potential business for local oil and gas processing equipment suppliers. It also means that thousands more Australians could have secure jobs in the LNG industry.
The Australian Government is currently creating a policy framework which is expected to expand the country’s competitiveness in the resources market. But according to Robinson, this framework might not make allowances for Australia’s rapidly changing LNG market.
Robinson urges policy makers to be sensi tive to the competitive position of the LNG industry and the changing nature of the global LNG market itself.
“We know that policy making that seeks to regulate upstream gas markets and/or price inevitably leads to less investment, less diver sity, less gas and, consequently, higher domestic gas prices,” Robinson said.
“The global natural gas industry and Australia’s competitive position are not static, and many other new as well as long-standing jurisdictions are regularly refining their invest ment regimes so as to improve their competi tive position. I am confident that Australia will be equally diligent.”
What is your opinion on the Australian LNG market? Do you think that the Government’s policy is a positive move or does it have the potential to intervene with and limit Australia’s LNG growth? Email your thoughts to us at the below address.
Sarah.Falson@reedbusiness.com.au