Global War for Gas Market Claims $40 Billion LNG Casualty
- Woodside scraps $40 billion liquefied gas export terminal plan
- LNG market slump ``killing off'' the weak: PIRA gas director
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The global LNG boom is turning into a war of attrition amid a glut in the seaborne natural gas market.
The conflict reaching from Australia to Qatar to the U.S. claimed a major casualty this week when Woodside Petroleum Ltd., with partners Royal Dutch Shell Plc and BP Plc, scrapped plans for the $40 billion Browse liquefied natural gas project in Australia amid the market slump. More cancellations or delays are expected as current supply kills any incentive to invest, according to BMI Research. Regulators this month rejected Veresen Inc.’s request to build a terminal in Oregon partly because it couldn’t prove there was enough demand.