Slide 1: CERA Presentation – The next LNG Supply Surge
Santos Ltd ABN 80 007 550 923 Ground Floor, Santos Centre 60 Flinders Street Adelaide South Australia 5000 GPO Box 2455 Adelaide South Australia 5001 Direct: + 61 8 8116 5000 Facsimile: + 61 8 8116 6723 TO: ASX Market Announcements ASX Limited FROM: Company Secretary DATE: 8 March 2012 SUBJECT: CERA
Slide 2: Disclaimer and Important Notice
Disclaimer and Important Notice This presentation contains forward looking statements that are subject to risk factors associated with the oil and gas industry. It is believed that the expectations reflected in these statements are reasonable, but they may be affected by a range of variables which c
Slide 3: Introduction and topics: Australia as LNG supplier
Good morning everyone and thank you Michael for that kind introduction. I am delighted to be here today as our panel considers the important role of natural gas in meeting the world’s energy needs. Today I will cover two topics: • The role of Australia as a major LNG supplier; and • Australia as the
Slide 4: Growth timeline of Australian LNG projects
As you can see from this timeline, the overnight growth in Australian LNG has truly been extraordinary! If we put Darwin LNG aside for the moment, then for over 20 years, Australian LNG was a one horse race. Turning the clock to 2018, another 8 projects currently under construction will be online. A
Slide 5: Conventional west and CBM-to-LNG east projects
Here is another view of the same data that shows that the story of Australia’s LNG industry is one of conventional LNG projects to the west and the pioneering CBM-to-LNG projects over to the east. The North West Shelf project is, if you like, the grandfather of the Australian LNG industry and has be
Slide 6: Asian LNG demand growth
We see three key factors: Asian demand, Australia’s gas resources and price. First of all, strong demand. And on just about every measure, the driver for future LNG demand comes from Asia. From now until 2025, total Asian demand for LNG is set to nearly double, from around 150 million tonnes to 300
Slide 7: South East Asia regasification terminals
This map of South East Asia shows existing and proposed regasification terminals, including floating regas which is fantastic technology that I’m sure my co-panellist Rob Bryngelson can tell us more about. Thailand opened the region’s first regas terminal in June last year. They are already fast tra
Slide 8: Quality of Australia's gas resources
The quality of Australia’s gas resources is the second important factor that we see. Australian resources will play a significant role in meeting Asian energy demand. We are on the doorstep of Asia, but it’s not just our close proximity that makes Australia competitive. Australia currently has an es
Slide 9: Oil-linked pricing and Asian buyers
And so where are we? • We see unprecedented Asian demand. • We know that Australian gas is abundant and available. • The third factor is price. You must have the right price to support the size and scale of Australian green field projects. It has been the oil-linked pricing and the opportunity of eq
Slide 10: US shale gas LNG exports into Asia
There has been a lot in the news recently about US shale gas exports into Asian oil-linked markets and we are often asked about the impact of LNG supplies from North America on Asian market dynamics and ultimately – Asia Pacific LNG Pricing. The debate has shifted from “IF” North American exports wi
Slide 11: Santos equity stakes in four LNG projects
I’d like if I can to say a few words on how Santos fits into this picture. Santos has equity stakes in 4 LNG projects: •The operational Darwin LNG project led by Conoco Phillips. •The sanctioned PNG LNG project led by Exxon. •The floating Bonaparte LNG project with our partner GDF Suez. And of parti
Slide 12: Santos GLNG CBM-to-LNG project
In 2007, Santos was first to announce plans for our pioneering CBM-to-LNG project. Along the way we have been joined by world class partners: Petronas, Total and KOGAS. This map shows the location of Australia’s CBM-to-LNG projects. All the plants are located on Curtis Island in the port of Gladston
Slide 13: Aerial view of the GLNG site on Curtis Island
This photograph shows an aerial view of the GLNG site on Curtis Island. Quickly, I would just like to take you through a few highlights from this site. As you look at the photograph, on the top left, that is where our LNG offloading jetty will be located. Moving to the right, we'll have the tanks an
Slide 14: Conclusion: Australia's expanding LNG significance
So as you can see, Australia’s significance in the global LNG marketplace is clearly expanding. As Asia continues to grow, Australian LNG will play a key role in providing our neighbours with a cleaner burning fuel that’s both available and affordable. Our pioneering CBM-to-LNG projects, including S