Sign up
Oil Capital

US Energy titan ConocoPhillips mulling multi-billion dollar gas expansion in Northern Territory

The energy firm has launched a study to assess the merits of a multibillion-dollar expansion in Australia
platform_and_tanker,_sized.png
ConocoPhillips is mulling an expansion in Australia

US oil titan ConocoPhillips (NYSE:COP) shares were unmoved in pre-market trade as reports emerged of a potential expansion to its Darwin liquefied natural gas (LNG) plant in Australia.

The energy group has launched a study to assess the merits of a multibillion-dollar expansion to the operation in Australia’s Northern Territory.

Rise in gas prices...

It comes amid a reported rise in domestic gas prices in eastern Australia and fears of a supply shortage but is a shift away from the firm's previous thinking about the area.

It has previously said the focus was on developing new resources to maintain output at its existing line when gas from the Bayu-Undan field in the Timor Sea west of Australia runs out in 2022.

Northern Territory gov't contributing..

Reportedly, a $650,000 feasibility study on building a second train is due to be completed this year, the Northern Territory government said today, announcing that it would contribute $250,000 towards that report.

There are five joint ventures with undeveloped gas resources off the coast of the Northern Territory.

They are backing the study, with stakeholders including Royal Dutch Shell (LON:RDSB), Malaysia's Petronas, Italy's ENI SpA, and Australia's Santos and Origin Energy.

Darwin LNG is owned jointly by ConocoPhillips, Santos, Japan's Inpex, ENI, Tokyo Electric Power Co and Tokyo Gas Co.

Giles_55af4ddca6481.jpg


Register here to be notified of future COP Company articles
View full COP profile

ConocoPhillips Timeline

View All

© oil Capital 2017

Oil Capital, a subsidiary of Proactive Investors, acts as the vanguard for listed oil companies to interact with institutional and highly capitalised investors.
Headquartered in London, Oil Capital is led by a team of Europe's leading analysts and journalists, publishing daily content, covering all key movements in the Technology market.