The future is brigth13 Feb 2018 14:53
NTNEWS.COM.AU � SOURCE �
Door opening for new NT gas market
FEBRUARY 14, 2018
A POLICY shift towards more gas may open a new market for Territory exports, the chief executive of Pangaea Resources believes.
The company is one of three that hold substantial positions in the Beetaloo Basin.
Chief executive Sunil Salhotra said a weekend policy announcement by India�s Bharatiya Janata Party, led by Indian Prime Minister Narendra Modi, that it intends to build another 11 LNG import terminals over the coming seven years, tripling its imports from 20 million tonnes a year to 70MMtpa was a major opportunity for Territory gas.
�India � like a number of countries � are increasing their energy mix away from coal to gas and renewable power generation but gas is also used as other feed stock for commercial and industrial,� Mr Salhotra said. �The policy statements the Indian Government has announced are consistent with other policy announcements we�ve seen through the Asian world.
�It represents a shift towards more gas in the energy mix. India has a relatively low mix in terms of gas now. The Territory is physically the closest point to Asia. The great thing about the NT is that the sheer scale of the gas volumes is that it can supply domestic and international markets.�
But, despite the plans for at least 11 new import terminals which would take its total to 15, gas transmission infrastructure for LNG remains low to non-existent in many parts of the country.
Mr Salhotra said �the plumbing would adapt over time�.
Japan is the world�s largest LNG buyer, importing around 81MMtpa, while the world�s second and third largest importers, China and South Korea, took in around 34MMtpa last year.
Wood Mackenzie said last year that it expected India�s gas market to grow at a compound annual growth rate of 7 per cent by 2025 courtesy of new gas infrastructure, but that is now below the nation�s newly announced, ambitious targets.
The Northern Territory has a moratorium on hydraulic fracturing, a process which is a key to onshore gas exploration and production.
The Gunner Labor Government is waiting for a scientific inquiry report before deciding if it will lift the moratorium.