Latest news with #SimonYounger
Mint
3 days ago
- Business
- Mint
Australia's Gas Sector Scores Win in Wider Push to Ease Red Tape
(Bloomberg) -- Australia's natural gas sector secured a long-awaited regulatory victory with permission to extend the life of the nation's biggest export plant, but the industry is still grappling with policy uncertainty that it says hampers investment. The Woodside Energy Group Ltd.-operated North West Shelf project received provisional clearance on Wednesday to run to 2070 after a process that lasted more than six years. However, many other multibillion-dollar gas projects planned over the next decade are still waiting for approvals from state or federal government agencies. 'It's an encouraging early sign, but the industry wants to see more action on approval reform before their appetite returns to Australia,' said Saul Kavonic, an energy analyst at MST Marquee. 'Things that used to take months still take years.' Stricter policies and legal challenges from environmental and indigenous groups have held up Australian gas developments, which are a major contributor to the nation's status as one of the biggest per-capita polluters. Investment in gas exploration in Australia has grown by just 15% in the past five years, compared with almost 30% globally, industry consultant Wood Mackenzie said in a report this week. The nation's share in the investment portfolio of major international oil companies has fallen to 15% from more than 40% just over a decade ago, it said. ExxonMobil Corp. has paused investments in recent years due to the regulatory instability, Australia Chair Simon Younger said in Brisbane this week. Meanwhile, Chevron Corp.'s Australia President Balaji Krishnamurthy stressed the importance of consistent policies that can endure over time at the industry gathering. 'There is a bit of alphabet soup in the energy space, and if the government is wanting to simplify that and have sharper delineation of roles and responsibilities, I think that would be welcomed by the industry,' Woodside Chief Executive Officer Meg O'Neill said at the Australian Energy Producers Conference conference. The extension of North West Shelf will allow Woodside to seek sign-offs on Browse, an ambitious plan to send gas from massive offshore reserves to the liquefied natural gas plant. The company has amended that project, which is being assessed by Western Australia's Environmental Protection Agency, to limit its impact on a major reef system. The approval of the extension also comes in the same month Prime Minister Anthony Albanese's Labor Party was resoundingly reelected, defying some forecasts that he would need support from the Greens or climate-focused independents to form government. Albanese has said the nation will need more gas to support renewables and to help the country meet its net zero commitments. 'I think I can speak for all my colleagues in the industry, we're all ready to invest,' Kevin Gallagher, the CEO of gas producer Santos Ltd., said at the conference. 'If we get the policy certainty, the regulatory clarity and stability that we need, we're all ready to invest.' More stories like this are available on
Yahoo
17-03-2025
- Business
- Yahoo
ExxonMobil Australia, Woodside approve $221m for Turrum phase three gas project
ExxonMobil Australia, in partnership with Woodside Energy, has announced the final investment decision (FID) for the Turrum phase three gas project. The joint venture (JV) aims to tap into underdeveloped gas resources in the Gippsland Basin with an investment of A$350m ($221m). The project, which is expected to address potential gas shortages on Australia's east coast, involves drilling five new wells in the Turrum and North Turrum gas fields. The decision comes at a critical time as Australia's competition regulator has warned of a gas supply shortfall from 2027, which could necessitate gas imports due to structural declines and uncertainties in future investments. In an emailed response to Reuters, ExxonMobil Australia chair Simon Younger said: "While depletion of the Gippsland Basin is inevitable, projects such as Turrum will ensure Bass Strait continues to produce gas for the domestic market past 2030." The Gippsland Basin JV is shared equally between Esso Australia Resources and Woodside Energy (Bass Strait), with Esso Australia taking the lead in operations. In a separate statement, Woodside's executive vice-president and chief operating officer for its Australian operations, Liz Westcott, was quoted by the news agency as saying: "The Turrum Phase 3 project, and the recently approved Kipper 1B project, will unlock additional gas that is needed to avoid future shortfalls. "Every molecule of gas Woodside supplies from the Bass Strait fields is sold into the Australian domestic market for local manufacturers, power generators and homes." Also, ExxonMobil affiliate ExxonMobil LNG Asia Pacific has entered a long-term sale and purchase agreement for the supply of liquefied natural gas (LNG). According to the agreement, ExxonMobil will purchase approximately 1.5 million tonnes per annum of ARC's LNG from the Cedar LNG project. "ExxonMobil Australia, Woodside approve $221m for Turrum phase three gas project" was originally created and published by Offshore Technology, a GlobalData owned brand. The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site. Sign in to access your portfolio
Reuters
17-03-2025
- Business
- Reuters
ExxonMobil Australia, Woodside approve final investment decision for $221 million gas project
March 17 (Reuters) - ExxonMobil's (XOM.N), opens new tab Australian unit said on Monday that its Gippsland Basin joint venture with Woodside Energy ( opens new tab has approved its final investment decision to develop the Turrum Phase 3 project, targeting underdeveloped gas resources. The approval is for the A$350 million ($221.31 million) project, which aims to drill five new wells in the Turrum and North Turrum gas fields. The Reuters Power Up newsletter provides everything you need to know about the global energy industry. Sign up here. Earlier this year, Australia's competition regulator flagged that the east coast could face gas shortage supply from 2027, potentially leading to gas imports. The shortfall is expected due to structural decline and uncertainty surrounding future investments. "While depletion of the Gippsland Basin is inevitable, projects such as Turrum will ensure Bass Strait continues to produce gas for the domestic market past 2030," said Simon Younger, Chair of ExxonMobil Australia in an emailed response to Reuters. The Gippsland Basin joint venture is a 50-50 joint venture between Esso Australia Resources and Woodside Energy (Bass Strait), and operated by Esso Australia. "The Turrum Phase 3 project, and the recently approved Kipper 1B project, will unlock additional gas that is needed to avoid future shortfalls," said Liz Westcott, Woodside's executive vice president and chief operating officer for its Australian operations in a separate statement. "Every molecule of gas Woodside supplies from the Bass Strait fields is sold into the Australian domestic market for local manufacturers, power generators and homes." ($1 = 1.5815 Australian dollars)
