News

Santos GLNG should join forces with Arrow, analyst says

Santos's GLNG project needs access to more CSG, a financial analyst says.
Santos's GLNG project needs access to more CSG, a financial analyst says. Santos

GLADSTONE'S LNG projects are once again the subject of financial rumours, with one prominent analyst saying the Santos GLNG project should join forces with the yet-to-be-approved Arrow Energy Project.

Construction of the GLNG project is well underway, but Luke Smith, an analyst at Commonwealth Bank Equities, says the project must increase its supply of coal seam gas, and a merger could be the solution.

Meanwhile, a surge in the Australian dollar has blown out the cost for Gladstone's coal-seam gas export projects to $20.4 billion.

The 33% blow out was also caused by rising local costs and increased regulatory hurdles. It is uncertain how the blow-out will affect work on the three LNG plants on Curtis Island.
 

Topics:  curtis island gladstone lng resources santos



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