Australian PM secures Gladstone LNG projects’ support to domestic gas market

Australian PM secures Gladstone LNG projects' support to domestic gas market

Australia’s prime minister Malcolm Turnbull has secured commitments from two of the three Curtis Island LNG projects to contribute to the domestic gas market. 

During a meeting with the gas industry representatives on Wednesday, Turnbull said measures were agreed on that will help deliver cheaper and more reliable energy to Australian households and increase gas supplies for businesses.

The two projects that have already committed to boosting the domestic gas supplies are the QCLNG and Australia Pacific LNG while Santos GLNG has taken the matter on notice.

During the meeting, gas producers guaranteed that gas will be made available to meet peak demand periods, among other measures.

Speaking of the agreements, Shell Australia chairman Andrew Smith said that the QCLNG project has already “reduced LNG export shipments to supply additional gas to the domestic market.”

However, he called for the development of additional local supply, especially in Victoria where the government banned conventional and unconventional gas exploration and development.

In addition to LNG projects on Curtis Island near Gladstone, other producers have also agreed to revise their domestic gas production forecasts, while the Australian Energy Market Operator (AEMO) will produce an updated supply outlook.


LNG World News Staff

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