Surging costs in Australia, set to become the world’s largest liquefied natural gas exporter by 2018, are stoking a drive by Woodside Petroleum Ltd., the nation’s second-biggest oil and gas producer, to expand overseas.
Escalating costs to build liquefied natural gas plants on land in Australia, where energy workers earn the highest salaries in the world, are driving developers out to sea in search of billions of dollars in savings.
East Timor’s allegations that Australia engaged in espionage during 2004 talks on a treaty for the Sunrise natural gas field may lead to further delays for a Woodside Petroleum Ltd. project, Deutsche Bank AG said.
Japan’s projected increase in natural gas demand after the crisis at a nuclear power plant may help Inpex Corp. win customers and improve returns of its proposed Ichthys project in Australia with Total SA.
Woodside Petroleum Ltd. rose in Sydney amid speculation Australia’s second-biggest oil and gas producer is close to resolving how Royal Dutch Shell Plc will dispose of its remaining stake in the company.
Origin Energy Ltd. , a partner with ConocoPhillips in a A$35 billion ($31 billion) Australian gas venture, said it aims to make a decision to approve the project in December and may discuss collaboration with rivals.