LNG exports face $20bn hit as prices crash

Original article by Perry Williams
The Australian – Page: 13 & 20 : 17-Apr-20

The federal government’s revenue projections for LNG exports in 2020-21 were based on an average crude oil price of $U60 per barrel in 2020. However, the oil price has fallen to around $US27 a barrel; EnergyQuest expects it to average $US30 in the second half of 2020, rising to $US45 in the first half of 2021. The consultancy expects LNG export revenue to fall from $US50bn in 2019-20 to just $US30bn in 2020-21. In contrast, the government had forecast revenue of $US44bn from LNG exports in 2020-21, although this was prior to the coronavirus pandemic and the recent slump in the crude oil price.


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