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Australian LNG import project delayed

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LNG Industry,

According to Reuters, AGL Energy’s plans to start importing LNG as of 2021 are to be delayed.

This comes as the state of Victoria (Australia) ordered the company and its pipeline partner to submit a full environmental assessment of the project. As the review process takes approximately 9 – 12 months, the Australian energy company will not be capable of making a final investment decision (FID) by June 2019 as originally planned.

Reuters reports that AGL was on schedule to be the first proposed LNG import project (out of four) looking to meet the expected gas supply shortfall in southeastern Australia commencing in 2021.

The decision taken by the state of Victoria comes after protests occurred in the community surrounding the Western Port location where AGL is planning to construct the AUS$250 jetty project. The jetty would allow an LNG carrier to import regasified LNG into a new gas pipeline constructed by APA Group.

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