Australia’s exports of liquefied natural gas hit almost 60 million tonnes over the 2017/2018 financial year, growing 18.5 percent or 9.3 million tonnes.
Australia’s exports of liquefied natural gas (LNG) hit 59.7 million tonnes (Mt) during the 2017/2018 financial year, showing growth of 18.5 percent, or 9.3 million tonnes.
According to a report from EnergyQuest, one of the biggest drivers in LNG export growth was Chevron’s (NYSE:CVX) new projects, Gorgon and Wheatstone. LNG production began at Gorgon in March 2017, with shipments growing by 6.9 Mt to hit 12.7 Mt; full capacity is estimated at 15.6 Mt per year.
Meanwhile, Wheatstone’s first production and shipment happened in October 2017, reaching 2.1 Mt for the year; full capacity is expected to be 8.9 Mt per year.
Another major driver was increased deliveries to China of 6.5 Mt. The Asian nation accounted for 34 percent of Australian LNG deliveries during the period.
Japan was still Australia’s number one LNG customer, however, making up 46 percent of deliveries with an increase of 2.1 Mt for the year. Korean shipments increased by 0.5 Mt, comprising 11 percent.
Energy export revenues were also on the rise, growing an estimated 38 percent from the previous year to AU$30.8 billion. The gains are said to have been caused by higher oil prices and export volumes.
Chevron’s contributions to Australia’s resource sector have grown significantly over the last year, with the company having bought three exploration interests in Western Australia last October.
Meanwhile, the company’s North West Shelf project has been helping supply LNG since 1989, making Chevron the largest natural gas resource holder in Australia through its cumulative assets.
The company’s share price was down 0.49 percent on the NYSE as of 12:10 p.m. EST on Tuesday (July 17), hitting US$122.37 per share.
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Securities Disclosure: I, Olivia Da Silva, hold no direct investment interest in any company mentioned in this article.