Australia trims 2017-18 LNG export forecast by 3.8 mil mt on Ichthys delay

(Sydney, Platts, 7 Jul 2017)

The Australian government Friday lowered its forecast for the country’s fiscal 2017-18 (July-June) LNG exports by 3.8 million mt, due mainly to the later-than-expected startup of Inpex’s Ichthys LNG project. The Department of Industry, Innovation and Science revised down its forecast for fiscal 2017-18 LNG exports to 63.8 million mt in its latest quarterly report from 67.6 million mt issued in March. While pointing to the delay from late 2017 to March 2018 of the Northern Territory-based Ichthys LNG project startup, as well as minor revisions to forecasts for other LNG projects, the report also flagged intensifying global competition and federal government LNG export restrictions as casting uncertainty over the outlook.

Two other LNG projects are scheduled to start production in Australia in the current fiscal year: the 8.9 million/year Wheatstone LNG project and 3.6 million mt/year Prelude floating LNG facility.