Australia is a growth centre for Shell globally. We are developing large gas resources and maintain a substantial exploration portfolio off the coasts of Western Australia and the Northern Territory, as well as having coal seam gas opportunities in Queensland.
Finding solutions to develop these vast resources, a large proportion of which were discovered a couple of decades ago and mostly in distant locations and often deep waters, is a challenge.
This is a business of very long-term plans and substantial investment. It involves acquiring and developing new exploration areas, making oil and gas discoveries and bringing them to market. In Australia, we do this primarily through joint ventures with other oil and gas businesses.
Natural gas has many advantages: it is clean, relatively abundant and cost-competitive. As a result, it can lead to significant reductions in greenhouse gas emissions in the power sector.
Among international oil companies Shell is the world’s largest producer of liquefied natural gas (LNG).
Australia is key to Shell’s LNG growth aspirations globally. Shell sees natural gas as a major part of the energy mix needed to meet the world’s growing energy demand. Shell is looking at some $30 billion of investment in Australia over the next five years, making Shell one of Australia’s largest foreign investors. At present Shell is involved in a number of major gas projects, mainly off the north-west coast of Australia, between Dampier, Western Australia, and Darwin, Northern Territory. These include
interests in the North West Shelf project, the Gorgon joint venture, the Sunrise joint venture, the Evans Shoal joint venture and the Browse (Brecknock Calliance Torosa – BCT) joint venture.
We also have a number of Shell-operated exploration interests in the Browse Basin.