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.
AWE Ltd. investors who drove the shares down more than 40 percent this year in Sydney trading have overreacted to the oil and gas explorer’s disappointing drilling campaign off New Zealand, Citigroup Inc. said.
Santos Ltd. is expected to win Australian government approval for an A$18 billion ($17.6 billion) natural gas project in Queensland state with conditions that shouldn’t be “overly onerous,” Citigroup Inc. said.
Smithfield Foods Inc., owner of the world’s biggest hog slaughterhouse, is looking for deals in smoked ham, bacon and frozen meatballs. That may put Sara Lee Corp. and People’s Food Holdings Ltd. on its shopping list.
Korea Gas Corp. , the world’s biggest importer of liquefied natural gas, may need more Australian LNG after signing an initial accord to buy supplies from Chevron Corp.’s proposed Wheatstone project, Citigroup Inc. said.