Santos Ltd., Australia’s third- biggest oil producer, expects to reach agreement with BG Group Plc to connect their pipelines, bolstering the supply of gas for its $18.5 billion Gladstone project in Queensland state.
BG Group Plc, the U.K.’s third- largest oil and natural gas producer, is working with Goldman Sachs Group Inc. as it considers selling pipelines and other equipment at its Australian liquefied natural gas project, said two people with knowledge of the matter.
Arrow Energy Ltd. shareholders approved a A$3.5 billion ($3.1 billion) takeover by Royal Dutch Shell Plc and PetroChina Co., giving the buyers reserves to feed an Australian liquefied natural gas venture.
Australian liquefied-natural gas projects planned by companies from Royal Dutch Shell Plc to Woodside Petroleum Ltd. and valued at about $100 billion are at risk from rising costs and cheaper U.S. exports.
Operators of the four most advanced liquefied natural gas projects in Australia’s Queensland state, including Royal Dutch Shell Plc and BG Group Plc, could benefit from some form of consolidation, Fitch Ratings said.
The hilltop city of Yulin, about 500 miles (800 kilometers) southwest of Beijing, was once a strong point in the defensive wall that protected the Chinese heartland from the tribes to the north. An ancient fortress survives in the old part of the city, the Chinese characters for “Suppress the Barbarians” carved over its gate.