AsianOil: Australia's future gas strategy needs to recognise value of LNG, industry says

Australian oil and gas producers have urged the government’s future gas strategy to stress the importance of LNG exports, citing the billions of dollars in economic benefits they bring for Australians.

In its latest resources and energy quarterly report, Australian Energy Producers stressed that the government should not miss the opportunity to maintain the country’s role as one of the Asia-Pacific region’s top gas suppliers when it finalises its Future Gas Strategy. The document is expected to be released by the middle of the year.

“Australia’s oil and gas industry is committed to ensuring that our LNG exports deliver substantial returns to Australia while underpinning our domestic energy security,” Australian Energy Producers CEO Samantha McCulloch commented. “Our exports help governments build hospitals and schools and fund policies such as cost-of-living relief.”

LNG still delivers substantial benefits even though the returns have declined since the recent peak in the market cycle, she said. LNG exports earned a record $92bn in the last financial year, providing the government with more than $16bn in taxation. The report projects that earnings will come to $72bn this financial year.

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