Origin Energy’s Gains from APLNG

Australian gas producer and LNG exporter Origin Energy’s share of revenue from the Australia Pacific LNG project for the first nine months of the 2017-2018 fiscal year rose 48% year on year to A$1,476mn ($1.1bn) on the back of improved sales volumes of LNG and higher prices for both domestic gas and LNG, the company said April 30.

“We are seeing strong momentum from Australia Pacific LNG, with production continuing to be very reliable and a total of 30 LNG cargoes loaded and shipped in the quarter,” Origin CEO Frank Calabria said.

Origin’s share of LNG production from APLNG during the March quarter was 781,100 metric tons, down from 885,700 mt in the previous quarter due to scheduled maintenance and the shorter timeframe of the quarter, and up from 673,000 mt in the quarter a year earlier as the project has ramped up its production rates since then.

It received an average price of $8.10/mmBtu for its LNG during the March quarter, which compares to $6.72/mmBtu a year earlier and $7.14/mmBtu in the December quarter, the company said.

APLNG had planned maintenance on its train two during March which saw it shut for sixteen days. It is expecting to complete one downstream maintenance shutdown in the June quarter involving train one for about sixteen days. 

Calabria also made mention of the recent move by the Northern Territory to lift its hydraulic fracturing moratorium and said the company would be moving in soon.  “Origin welcomes the recent decision by the Northern Territory government to lift the moratorium on fracking, and we look forward to recommencing our exploration and appraisal activity in the Beetaloo Basin in 2019,” he said.