Australian Financial Review: More drive needed to keep Australia on crest of LNG wave

Australia sits just behind Qatar in terms of supplying LNG to global markets but, while the future looks bright for gas, there are still many challenges for the industry.

A recent AFR-Accenture report, titled Energy Critical, points out Australia’s LNG exports are forecast to accelerate to $61 billion in 2018, from $12 billion in 2011-2012.

The development of Top End onshore and offshore supplies across 10 projects has the industry well positioned until about 2020. Three projects are pumping LNG, five are set to begin production next year and the others in 2016 and 2017.

But business consultants Accenture warn that a second wave of LNG development in Australia needs to be planned now or other nations will catch up and overtake us as the preferred supplier next decade.

“The entire Australian energy sector – including mining, oil and gas, and utilities – now faces a looming set of macro and micro opportunities and challenges,” the report says.

“Lengthy and uncertain processes for capital project approvals have caused significant delays of capital-related investments.” MORE