Australian LNG set to be world's largest, most advanced: Accenture

An LNG vessel at the QCLNG Project on Curtis Island.

An LNG vessel at the QCLNG Project on Curtis Island.

Australia’s LNG industry is on track to become the world’s largest and most technologically advanced, contributing more than $A55 billion to Australia’s GDP in 2020.

A new report by Accenture, entitled Ready or Not? Creating a world-leading oil and gas industry in Australia and release ahead of the Australian Petroleum Production and Exploration Association (APPEA) Conference and Exhibition 2015, states that in order to become a world-leading industry, there is a need to increase international competitiveness and remove regulatory barriers.

The report finds that over the next five years natural gas production will increase by more than 90 per cent, the number of wells in production will increase by 400 per cent and pipeline infrastructure in Australia will increase by 45 per cent.

Meanwhile, greater industry and regulatory collaboration, accelerated workforce re-training and further investment in digital and automation will be required.

However, Accenture and APPEA believe that a successful transition from construction to production could be a win-win for LNG operators, the Australian service sector, the government and the overall economy.

“Australia has a real opportunity to use the next few years to become a world leading LNG producer, delivering long term returns for all industry sectors,” Acting APPEA Chief Executive Paul Fennelly said.

“The construction phase has now peaked, and the industry is transitioning into an exciting new production and operation phase – an estimated 13 new LNG trains within seven new plants will come online between 2015 and 2018.”

Accenture Energy Industry Group Asia Pacific Managing Director Bernadette Cullinane said the research overwhelmingly highlighted the need for more collaboration on key services such as turnarounds and logistics.

“Accelerating industry collaboration and embracing innovation and digital technologies will help drive global competitiveness, attract the next wave of capital investment and transform Australia into the world’s largest and leading LNG industry,” Ms Cullinane said.

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