Why Australia?

Australia is a major exporter of LNG with considerable potential for further development based on its abundant resources of natural gas.

Australia is the fourth largest LNG producer in the Asia-Pacific region and the sixth largest LNG producer in the world, exporting 15.2 million tonnes of LNG in 2006-07 with a value of around $5.2 billion.

Over the next 10 years, expected projects coming online will propel Australia to the second largest producer of LNG worldwide and provide significant new opportunities for investment with major long term revenue benefits.

Strong capital investment, particularly in the resources sector, has thrust Western Australia into a leadership role in the national economy and was critical to Australia avoiding recession, generating activity and employment across the economy.

In 2008-09, new capital investment in Western Australia resource related industrial projects was worth more than $30 billion, almost 30% of the Australian total, while total private fixed capital formation in Western Australia, at $126 billion, was 44% of the national figure.

Currently, with major new LNG projects, Pluto and Gorgon, underway and BHP Billiton, Rio and a range of new entrants expanding iron ore production, strong investment is expected to continue into the future.

The Government of Western Australia plays a pivotal role in developing Australia's resource and LNG industries by actively engaging with involved Government agencies, including:

 

The Department of State Development who has a key role in the Western Australian Government's strategies for attracting investment in resource, industry and infrastructure development to underpin the State's economic growth.

Working closely with the industry, communities and Government agencies, the Department delivers significant State initiatives and supports major resource, industrial and infrastructure projects. For more information visit www.dsd.wa.gov.au.

The Department of Mines and Petroleum is the State’s lead agency in attracting private investment in resources exploration and development through the provision of geoscientific information on minerals and energy resources, and management of an equitable and secure titles systems for the mining, petroleum and geothermal industries. It also carries prime responsibility for regulating these extractive industries and dangerous goods in Western Australia, including the collection of royalties, and ensuring that safety, health and environmental standards are consistent with relevant State and Commonwealth legislation, regulations and policies. For more information visit dmp.wa.gov.au.

The Office of Energy is a change agent that leads the development and implementation of policies and programmes to meet the State's energy needs. The Office of Energy is committed to driving change in a way that achieves improved, economic, social and environmental outcomes for Western Australia.

The Office of Energy provides a range of services on energy matters to the Minister of Energy, State Government, the energy sector and the Western Australian community.  For more information visit www.energy.wa.gov.au.

Currently, there are two operating LNG processing plants in Australia, the North West Shelf (NWS) LNG Project, with its five trains, and the Darwin LNG plant. The NWS Project has a production capacity of 16.3 million tonnes per annum (mtpa).

The Darwin LNG plant has a single production train with a capacity of 3.5 mtpa and the construction of a second train is under consideration.

There are several other Australian LNG projects at various stages of development with the 4.3 mtpa Pluto LNG project being the most advanced.  Construction has also commenced on the first of three 5 mtpa trains for the Gorgon project.   

There are significant future LNG projects currently planned in North Territory and Western Australia with Browse, Darwin LNG T2, Greater Sunrise, Ichthys (Darwin), Pilbara LNG and Wheatstone. In Queensland there are several Coal Seam Gas to LNG plants planned with Australia Pacific LNG, Gladstone LNG, Fishermans Landing LNG, Queensland Curtis LNG and Sun LNG.