Business

Shell takes Arrow LNG project off the table

ROYAL Dutch Shell has finally ditched plans for a new $US20 billion-plus liquefied natural gas project on Curtis Island at Gladstone, making it the latest casualty of the oil price slump.

Global chief executive Ben van Beurden said the proposed greenfield Arrow LNG project with PetroChina was "off the table", while other ventures would be slowed as priority was given to Shell's North American LNG projects.

Shell said the Arrow greenfield project was formally "cancelled", in a presentation released for its fourth-quarter results in London, which cited several ventures that were being deferred or abandoned in the wake of the collapse in oil prices.

However, the energy giant's Australian spokesman said that work was going ahead on the development of the Arrow coal seam gas reserves, which would just not be commercialised through a separate LNG project.

"Work continues on development of Arrow's substantial gas resources in the Bowen and Surat Basins," Shell Australia spokesman Paul Zennaro said.

SATIRE: LNP to direct all preferences to Sir Prince Philip

The initial plan was for Arrow Energy, owned by Shell and PetroChina, to develop a facility on to draw extracted coal seam gas from fields in central and south-west Queensland via a pair of proposed 500km pipelines.

The proposed plant's future has been in doubt for some time, despite it securing state and federal approvals last year.

A spokesman for Shell last year would not discuss the company's position on selling gas to its Curtis Island counterparts in lieu of the major project.

He said the company was "looking for more value in the project" and would consider collaboration if it meant a better deal for shareholders.

Read more at the Brisbane Times.

Topics:  arrow energy, curtis island, gladstone, lng



WATCH: Gladstone crabber losing livelihood to theives

Alan Grayson is furious with the ongoing thefts of crabs and pots in the region.

GLADSTONE crabber warns off fish and pot thieves in Boyne waterways.

31-year-old man dies in 'tragic' Bruce Hwy smash

Emergency services at the scene of a fatal two-vehicle crash involving a car and a truck at the Bruce Hwy at Benaraby.

A 32-year-old man has died in a fatal crash on the Bruce Hwy.

Local Partners

Cliff Richard to release 101st album

Sir Cliff Richard's album cover

Sir Cliff Richard is to release his 101st album

CMC Rocks faces fan backlash over date change, headliners

The 10th annual CMC Rocks festival will be headlined by The Dixie Chicks.

FANS are not happy about festival being pushed back by two weeks.

Kim Kardashian West attacked by man trying to kiss her bottom

Vitalii Sediuk targeted Gigi Hadid last week

Madonna poses naked in solidarity with Katy Perry

Madonna posted her own nude selfie on Instagram

Carlos Santana added to Bluesfest 2017 line up

Carlos Santana at Bluesfest 2013.

Calling all local black magic women

Disney to remake 'The Lion King', and it's live-action

The Lion King is coming back to movie theatres

And this time it's going to be live-action.

$40million hotel, shops development project for Mackay

Mt Pleasant hotel and retirement accommodation, proposed at 194-202 Malcomson St.

$40m development to take Mackay to 'the next level'

'Flex muscles': Gladstone suburb drops $120K

BUYERS are scooping unprecedented deals by “flexing their muscles at the table”

Few bright lights for property after mining downturn

The Gladstone Regional Council wants associated LNG companies like Bechtel to be apart of the EIS housing accommodation strategy from the outset of the projects and not mid-way through.

Tannum Sands continues to write its own property success story

Property 200m from ocean selling for just over $100K

BEACHCOMBER PARK: Work has started on a new $19.2 million development at Toogoom.

The estate's developer is offering huge discounts for early buyers.

UPDATE: Former rodeo champ's sale rained out, now back on

Larkhill local Ken Consiglio is having an auction of most of the things on his property.

'People kept showing up and we had to turn them away'

Market opens as Gladstone sellers drop prices to force sale

VENDORS are dropping the price on houses to force a sale.