Business

LNG exports from US pose threat to Australian producers

US exports of liquefied natural gas are set to pose a competitive threat to high-cost Australian producers, even if their domestic gas prices rise, according to experts.

Brisbane Times reports New York-based Barclays investment banking vice chairman Grant Porter said the US could be self-sufficient in energy and export 80 million tonnes of LNG, but domestic US gas prices could still remain between $US4 and $US6 per million British thermal units.

US domestic prices within that range would mean US LNG exports would remain competitive against current exporters to Asia, he said.

"Even with the record winter we have had (in the US), we have worked through the gas storage inventory from two trillion to 800 million, take a look at the forward curve in the US is still $US4.50 and $US4," Mr Porter said at the APPEA oil and gas industry conference in Perth.

He said the US benchmark gas price, known as Henry Hub, would remain subdued until the US started exporting next year.

But even after that, the price wouldn't rise significantly because supply would increase from shale gas areas where wells are currently shut in.

Read the full story here.

Topics:  exports gas gladstone lng resources



REVEALED: Who will take on the Titans in Gladstone

Titans CEO Graham Annesley at Marley Brown Oval with Kate Jones and Matt Burnett.

The announcement we've all been waiting for has finally arrived.

Identity of men lost off the coast revealed

30-year-old Adam Hoffman is missing at sea.

Six aircrafts and six vessels are searching throughout 300nm today.

Saving ratepayers money and generating jobs

Gladstone MP Glenn Butcher, Gladstone Region Mayor Matt Burnett and Local Government Minister Mark Furner were happy with the funding.

State Government funding creating jobs in the region

Local Partners