There are times when the human body is not cut out for dealing with the rage-inducing Australian politician:
Federal Resources Minister Matt Canavan is scrambling to reassure some of Australia’s biggest LNG investors and customers in Asia about the new domestic gas security policy, amid fears it may cause lasting damage to multibillion-dollar project investments and pose risks to shipments.
Senator Canavan leaves on Monday for Japan and South Korea to meet with chief executives who have been rattled by the federal government’s shock move last July to subject LNG to an export control policy.
“Inpex believes that the Australian Domestic Gas Security Mechanism has the potential to deter future investment and to detract from Australia’s international reputation as a reliable supplier of LNG,” said Bill Townsend, general manager external affairs and joint venture, at Inpex in Perth. Mr Townsend is understood to be involved in discussions in Tokyo.
Santos chief executive Kevin Gallagher, who last year voiced concern about potential long-term damage to Australia’s sovereign risk from the ADGSM, welcomed the minister’s engagement with LNG venture partners and customers.
“It demonstrates how much their investment in Australia is valued by all of us and how important that investment is to the Australian economy as a whole,” Mr Gallagher said.
Senator Canavan said Australia had to take steps to ensure domestic energy security through the ADGSM, while emphasising the value the government places on strong relationships with international investors and trading partners.
Is Cavanan the Asian Resources Minister? The local gas price is marching higher again as we speak:
So why is he off to Asia to reassure it that its households and businesses will get more cheap gas? What about his own flock which is being mercilessly gouged by the gas cartel doing the exporting? To wit, from Santos today:
Santos has posted increases in quarterly and full-year sales as the oil and gas producer continues to deliver on its turnaround strategy and benefits from climbing commodity prices.
December quarter revenue of $US861 million was up 14 per cent on a year-earlier and drove full-year sales up 20 per cent to $US3.1 billion, Santos reported on Wednesday.
Production for 2017 was towards the upper end of guidance at 59.5 million barrels of oil equivalent, but was 3.4 softer than in 2016. Sales volumes, which includes sales from third party processing, beat guidance, at 83.4 million boe.
Chief executive Kevin Gallagher said Santos’s work to deliver a low-cost and reliable business progressed ahead of expectations in the year.
Given export volumes are still running at huge losses, this profit can only be coming from the massive gouging of the local market.
Nice work if you can get it, eh Matt.
