Australia has become the largest supplier to the world’s biggest Liquefied Natural Gas (LNG) buyer – Japan – for the first time.
The milestone – recorded in the 2012 calendar year – coincides with Australia achieving both record LNG export volumes and LNG export revenue during the same period.
Its market share of LNG trade to Japan was greater than that of the previous largest suppliers, Qatar and Malaysia.
According to the latest EnergyQuarterly Report – by respected energy economics group EnergyQuest – Australia exported 15.9 million tonnes (Mt) of LNG to Japan in 2012, overtaking Qatar, which exported 15.7 Mt, and Malaysia (14.6 Mt).
The start-up of the Pluto LNG project in 2012 propelled Australia into top position among LNG exporters to Japan.
“Australia has captured the biggest share of a growing market for LNG,” EnergyQuest Chief Executive, Dr Graeme Bethune , said.
“Japanese LNG imports were a record 87.3 Mt in 2012, 11% higher than the previous year, and 18.2% of that LNG came from Australia,” he said.
“One of the major reasons for the increase in Japanese LNG demand is the shut-down of nuclear reactors in that country following the devastating earthquake in March 2011.
“Japan’s imports from Australia are set to keep increasing as the Gorgon, QCLNG, APLNG, Wheatstone, Prelude and Ichthys LNG projects come into production over the next five years.
“The INPEX Ichthys project – offshore of north-west Australia – alone is expected to supply around 10% of Japan’s LNG needs when it comes into production in 2017.”
Australian LNG exports almost $14 billion
Dr Bethune said Australian LNG exports reached a record 21.8 Mt in 2012, up 11% from 2011, and the value of exports reached $13.8 billion – an increase of 25% on the previous year.
This now makes LNG one of Australia’s major exports.
He said exports were likely to increase further in 2013 with a full year of production from Pluto, and then each year thereafter to at least 2017 as new projects come into production.
Other highlights of the report include:
[mappress] LNG World News Staff, March 08, 2013; Image: Woodside