Australian Petroleum Production and Exploration Association (APPEA) said that LNG projects had a crucial role to play in Australia’s future fiscal sustainability and long-term economic growth.
“The oil and gas industry today is part way through an investment of around AU$ 200 billion on seven LNG projects, peaking with investment in 2013 - 14 of more than AU$ 50 billion,” the company said.
This comes with the publication of the Australian Budget 2014 - 15, which said that LNG exports would overtake Qatar in the coming years: “exports of LNG are expected to grow significantly by 2015 - 16 as the more advanced LNG projects begin production. By 2015 - 16, the value of LNG exports is expected to be roughly double its current level. This would see it surpass both thermal and metallurgical coal, currently Australia’s second and third largest exports by value. Continued robust growth is also expected beyond the forecast years as additional projects come online, with Australia likely to overtake Qatar to become the world’s largest LNG exporter before the end of the decade.”
APPEA stressed that growth of Australia’s economy would depend on Australia’s competiveness and attractiveness to global investors and its ability to invest in infrastructure and innovation and a skilled workforce. The company’s CEO, David Byers, said: “The critical role that Australia’s oil and gas industry can play is through investment in the next phase of projects currently under review.”
“Announcements contained in tonight’s Budget Past and current investment in the oil and gas industry has underpinned Australia’s economic performance over the past five years and will provide an important stream of revenues for the Australian community when projects under construction reach production,” APPEA said.
Edited from various sources by Ted Monroe
Read the article online at: https://www.lngindustry.com/liquid-natural-gas/14052014/australian_budget_confirms_that_lng_will_help_strengthen_australian_economy/