Australia’s largest producers join the cutback bandwagon
Developers have begun delaying new gas projects in response to oil price pressures and further capex cuts may be necessary
Australian independents Woodside Petroleum and Santos have both announced major capex cuts and deferral of several multi-billion dollar LNG projects, following plunging industrywide oil prices. The downgrade may have been triggered by an escalating oil price war between Saudi Arabia and Russia. But Asia’s spot LNG prices have also been in the doldrums for months—first due to unseasonably warm winter temperatures and then the Covid-19 demand shock, which triggered a Chinese shutdown in January. The combination of demand destruction and market oversupply has driven Brent down to a 20-year low, while the JKM futures prices on the CME are below $3/mn Btu for monthly contracts from May through t
Also in this section
1 April 2025
There is method to the US president’s apparent madness, and those seeking to understand need look no further than their local bookshop
1 April 2025
Strong economic growth targets are encouraging for the country’s energy demand growth, even if meeting those goals might be a tall order
28 March 2025
The Central Asian country is positioning itself as a low-carbon leader, but antiquated infrastructure and a dependence on Russia are holding it back
28 March 2025
MCEDD 2025 took place in Madrid this week with record attendance and a wide-ranging programme, reflecting the deepwater sector’s renewed momentum, strategic focus and accelerating technological innovation.
