Oil Slump Threatens Future Australian LNG Projects

PERTH, AUSTRALIA--December 18, 2014--Researched by Industrial Info Resources Australia (Perth, Australia)--The future of Australia's liquefied natural gas (LNG) industry is threatened by declining oil prices. Traders use oil to benchmark LNG prices. The oil price plunge has reduced the profit margins for Australia's three operating LNG developments and the projected profits of the seven LNG projects that are under construction. Many believe that falling oil prices are threatening the $70 billion worth of proposed LNG projects in Australia, which are considered to be the second wave of the country's energy boom. Within this article: Details on the Australian LNG market, including the Scarborough Floating Liquefied Natural Gas project from Exxon Mobil Corporation (NYSE:XOM) and BHP Billiton Limited (NYSE:BHP).