Arrow gas deal is a boost for jobs and energy security

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17 August 18, 2:41pm Without additional gas supply capacity, there is a potential short-fall in meeting annual Victorian #gas consumpti… https://t.co/PiR0RpYfPr
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by APPEALtd
17 August 18, 11:48am An impressive local community project to enhance marine habitat and recreational fishing opportunities by creating… https://t.co/Lu8FziWom4
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by APPEALtd
17 August 18, 8:29am Explore onshore or #gas costs more, APPEA warns today in a story featured in @australian https://t.co/Cg3AcVCXPH https://t.co/JJVjNQoxkB
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by APPEALtd
15 August 18, 5:10pm A successful 'Introduction to Oil and Gas' event hosted by APPEA in #Canberra today involving industry, corporate a… https://t.co/AGMLsdBhwC
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by APPEALtd

The gas supply deal announced today between Shell Australia joint ventures Arrow Energy and QCLNG will underwrite development of Arrow’s massive Surat Basin reserves, estimated to be five trillion cubic feet (TCF).

“This is great news for Queensland and for Australia,” said APPEA Chief Executive Dr Malcolm Roberts.

“The largest undeveloped gas reserve on the east coast has found a way to market, supplying Australia’s domestic and export customers for decades to come.

“This innovative deal has only been possible by the use of existing infrastructure developed to support the LNG industry.

“Once again, we are seeing how the development of a world-class gas export industry in Queensland is actually boosting supply to the domestic market.”

Dr Roberts said the creation of 1000 new jobs, including 200 ongoing operational roles, was especially good news for regional communities in the Surat.

“While today’s announcement has been driven by industry, there is plenty governments can do to increase gas supply and put downward pressure on prices,” Dr Roberts said.

“The Queensland Government’s own analysis shows regulatory costs account for more than one third of exploration costs and almost one tenth of all costs over a project’s life.

“There is no doubt that a concerted effort to reduce regulatory costs will encourage more exploration and development. This must be a priority for all governments.”

Note: Arrow is owned by Shell and PetroChina (50/50).  QCLNG is an unincorporated joint venture between Shell, CNOOC and Tokyo Gas.