Gas Processing & LNG is Produced by Gulf Publishing Holdings LLC



Australia formally becomes world’s largest exporter of LNG

Australia has officially become the world’s largest exporter of Liquefied Natural Gas (LNG) on an annualized basis.

In sending overseas, an estimated record 77.514 million tons (Mt) of locally produced LNG in calendar 2019, Australia edged out former No. 1 LNG export titleholder Qatar, expected to produce 75Mt in 2019.

The 2019 Australian LNG exports were more than twice those of the United States, the world’s other fast-growing LNG producer. The US Energy Information Administration expects the US to have exported 34.3Mt in 2019.

The Australian contribution came from across all three now fully established LNG hubs at Karratha in Western Australia, Gladstone in central Queensland and Darwin in the Northern Territory - home of both the Ichthys and Darwin LNG projects.

Total Australian 2019 LNG shipments were up by 11.4% on 2018, primarily due to the growth in production from the  Ichthys project, operated by Japan’s INPEX. 

Western Australian production was steady on 2018 and Queensland production was up by 8.2% to 22.4Mt, with both APLNG and QCLNG operating at close to full capacity.

The figures and new world crown are confirmed in analysis of ship tracking data by respected Australian independent energy consultancy, EnergyQuest.

Its Chief Executive, Dr Graeme Bethune, said today that while Qatar’s final production figures for 2019 were yet to be produced, Australian operational capacity of 88Mt now substantially exceeds the 77Mt of its Middle Eastern rival.

“The record Australian performance for last year is 2.5Mt above the forecast of Qatar 2019 production of 75Mt, contained in the December 2019 Australian Government Resources and Energy Quarterly,” Dr Bethune said.

“On an annualized basis, we have previously achieved the global title in some individual months but 2019 is the first time Australia has topped global LNG export performance on a sustained annual basis,” he said.

“Australia’s 10 LNG projects have a combined capacity of 87.8Mt. However, with only 88% of total nameplate capacity used over 2019, there remains opportunity going forward to lift the current production milestone even higher.

“For example, the Shell-operated Prelude floating LNG project offshore WA is only expected to reach full capacity in 2020.”

On a percentage basis, the Northern Territory proved the glamour performer for 2019, lifting sold output 153% to more than 10.5Mt from 4.15Mt the previous year.

Western Australia continued to dominate the country’s LNG output at 57% of the national total, with Queensland garnering 29% of those exports.

The largest contributing project to Australian LNG exports was the Woodside-operated North West Shelf project in WA, followed by the two Chevron-operated WA projects, Gorgon and Wheatstone.

The largest % growth was the Northern Territory’s Ichthys LNG project, producing 7.529Mt in calendar 2019 – up 900% in a year from its commissioning volumes in 2018.

Western Australia alone is now the world’s second largest LNG producer with Queensland ranking a significant sixth. The new data underpins the emergence of the Northern Territory as now the third force in Australian LNG, producing 14% of Australia’s 2019 LNG exports.

EnergyQuest estimates that the average 2019 LNG export price was A$11.41 per gigajoule (GJ), well above WA domestic gas prices of below A$4.00/GJ.

On the east coast, the Wallumbilla average gas price fell from A$8.95/GJ in 2018 to A$8.15/GJ in 2019 and as of 1 January, 2020, had eased even further to A$5.00/GJ.

Dr Bethune said EnergyQuest analysts estimated total 2019 LNG export revenue was A$49.0 billion, up from A$43.3 billion in 2018 and A$9.4 billion a decade ago in 2010 at the start of the Australian LNG development boom.

“To put the A$49 billion of LNG export revenue in context, the total value of exports of both goods and services from Victoria was estimated by Global Victoria to be A$57.7 billion in 2018-19,” Dr Bethune said.

 

“So, LNG contributed nearly as much export revenue last year as all of the exports from Australia’s second-largest state.”

 


Copyright © 2019. All market data is provided by Barchart Solutions. Futures: at least a 10 minute delay. Information is provided 'as is' and solely for informational purposes, not for trading purposes or advice. To see all exchange delays and terms of use, please see disclaimer.

                                  CMEGroup                                     Icelogo

FEATURED COLUMNS

Editorial Comment: China eyes continued expansion of smaller-scale LNG
-Adrienne Blume
Smaller-scale liquefaction in China, the world’s second-largest LNG importer, has experienced growth in recent years as China’s government integrates more gas into the country’s energy matrix.
Executive Q&A Viewpoint: SeaOne expands South American energy options with Compressed Gas Liquid technology
-Bruce Hall
SeaOne is a midstream infrastructure and logistics company that leverages its patented Compressed Gas Liquid (CGL™) technology to lower energy costs in various markets, generating new opportunities for economic growth and environmental stewardship.


Corrosion Control for Gas Treating Amines: Technology Leads to Increased Amine Unit Efficiency

Register Now

Accelerated basin drilling activities combined with increased fugitive gas emission capture technologies have increased trace oxygen levels in midstream natural gas. Oxygen present in concentrations even as low 30-50 ppm will cause costly corrosion-related problems in plant operations and processing equipment. One area in the plant most affected by oxygen is the amine unit. Oxygen will degrade MDEA-blended amines to corrosive amino acids and heat-stable amine salts.

Learn how a new technology from BASF combined with innovation from Nalco Water can increase amine efficiency and reduce costs associated with corrosion. This new technology will inhibit the degradation of amines from oxygen attack and control corrosion in process gas, while stabilizing the amine from degradation into bicine and other heat-stable amine salts. Together with Nalco Water’s real-time amine corrosion control program, have been proven to both mitigate oxygen degradation of amine and reduce the overall corrosivity of amine units.

August 19, 2020 10:00 AM CDT

Register Now

 

Please read our Term and Conditions, Cookies Policy, and Privacy Policy before using the site. All material subject to strictly enforced copyright laws.
© 2020 Gulf Publishing Holdings LLC.