Australian upstream rejects politicians’ call for A$4 gas
Producers insist the costs of producing gas domestically—as well as prevailing spot prices—significantly exceed the historic benchmark price level
The Australian upstream industry is pushing back against the popular notion that currently depressed domestic natural gas prices are here to stay. While prices have collapsed over the past two years, the industry argues the days of cheap gas are gone and expectations that prices will not climb in line with the international market are unrealistic. The Australian Petroleum Production and Exploration Association (Appea) has pointed to an International Gas Union (IGU) survey of wholesale gas prices as showing that Australia’s average rates are among the lowest in the Asia-Pacific region. Majors ExxonMobil and Shell, meanwhile, have dismissed a recent recommendation to the government that gas pr
Also in this section
28 March 2024
The country’s largest gas field is a bright spot for the North Sea, boasting cleaner operations amid a changing mood in Europe over hydrocarbons
28 March 2024
Whether OPEC+ starts to unwind its oil production cuts from June will depend on heavily debated unfolding supply-demand balances
28 March 2024
As a gas supply shortfall looms, balancing regulatory flexibility with energy security and investor confidence will be critical
27 March 2024
Oil producers have to untangle the increasingly complicated relationship with their natural resources