Thursday, April 12, 2012

Doubts grow over $40bn Woodside project at James Price Point

Matt Chambers The Australian April 11, 2012
MORE doubts have emerged about the planned $40 billion Browse LNG project near Broome after the federal and West Australian governments agreed to give Woodside Petroleum another year to make a decision on going ahead. The move is being seen as acknowledgment a stand-alone project at James Price Point, north of Broome, is more unlikely amid growing community opposition, rising costs and the emergence of cheaper North American gas exports as a US shale-gas glut depresses domestic US gas prices.


  1. What's all the fuss over North American shale gas?
    The west coast of Canada is booming due to the vast shale gas reserves and it's closeness to Asia.

    BANGALORE/TOKYO, April 12 (Reuters) - Royal Dutch Shell Plc, Mitsubishi Corp, China National Petroleum Corp and Korea Gas Corp are in the final stages of talks to build a $12.35 billion liquefied natural gas (LNG) terminal on Canada's west coast, which would be the third such project aimed at meeting demand from Asia.

    And in the US pipeline flows are being reversed and import terminals are being converted to liquefaction export LNG plants.

    •Louisiana Department of Natural Resources (DNR) Scott Angelle said today that operators of a second Louisiana-based Liquefied Natural Gas (LNG) import facility have formally begun the process of attaining the last major federal regulatory approval needed to convert to liquefying and exporting domestic natural gas – a move that could mean billions of dollars of investment in the state to make the conversion, and new markets for domestic energy that could provide greater demand and more opportunities for companies and jobs in state energy exploration and production.

    And today,for the first time since 2002,the price of gas per unit in the US fell below $2.00.

    A recent contract between Australia and Japan went for $16.00 a unit.

  2. Yanks want to work down under and build gas plants?Why when they can build them Stateside.

    Rumours Conoco Phillips have committed to JPP are unlikely,or Point Torment,for that matter seem very unlikely.

    Conoco Phillips has just spudded their first well in their drilling program in the Browse Basin.

    Their drilling program in the Canning is set to commence mid year.

    Page 5 of their ASX investor presentation,March 2012,"Well positioned for WA energy market",says,"Pipeline access to both the Pilbara market and Perth metrolpolitan area being planned via proposed Buru pipeline."
    "Merlinleigh project located on major gas infrastructure."
    Goldwyer and Laurel are half way between Broome and Port Hedland.
    "Direct access to growing Midwest and Pilbara resource development projects."

    On the page 5 map it shows JPP and Point Torment.

    Looking at their map it seems more likely their pipelines will head South,rather than North.

    W.A. domestic gas prices are high compared to the US.

    JPP,as we know,is a basket case.
    With the Yanks talking of dumping cheap coal into the India market,it would be reasonable to say the very expensive and environmentally hostile Point Torment,and the coal mine are now in doubt as well.

    It is just possible that a couple of gas hub supporters still upset over Inpex going to Darwin are behind the rumours.

    As for Conoco,maybe their buddies over at Shell need to run a jack under the Woodslide share price,before the big selldown,and the good ol'boys over at Co no co are just helping out.

    After all those goddamn jackasses at Pluto have just missed another goddamn export dateline,goddamnit!

  3. The good ol' boys over at Co no co could be looking after their ol' buddy Colon Barnett.

  4. Sea Rise Threatens Over $40bn Worth Of National Parks Infrastructure