The Queensland Resources Council (QRC) has welcomed the action by Australia Pacific LNG to supply a further 41 petajoules (PJ) of natural gas to the Australian domestic market.
The announcement is yet another sign the Queensland gas industry is leading the nation with a proactive approach to easing the east coast gas squeeze.
Queensland’s neighbours must take a leaf out of our book, instead of relying on our state to meet the gap caused by their failure to develop their own gas industries. Gas exploration has stalled in New South Wales, Victoria and the Northern Territory, despite the fact all jurisdictions have their own reserves in the ground.
It’s also important that Queensland continues its exploration program to pinpoint new reserves and new opportunities for jobs and investment.
Therefore, it’s critical that the Palaszczuk Government does not restrict exploration acreage and ban further gas exploration in the Cooper Basin, which has been one of the most productive gas development areas, by pushing through new Pristine Rivers regulations without consultation.
Australia Pacific LNG has reached the gas sales agreement with Origin with the 14-month contract starting on November 1 with 4 PJ this year and 37 PJ next year. In 2018, Australia Pacific LNG’s commitment to the domestic market will represent close to 30 per cent of Australia’s east coast domestic gas demand.
QRC’s current data shows that in 2015-16, the state’s gas industry contributed $12.8 billion to the state’s economy and supported 65,000 jobs.