WSJ: Asia’s Dash for Gas Still Has Legs Says Bain

Too much natural gas may never be enough for Asia, according to Bain & Co.

The consultancy believes a business case remains for construction of at least a few more multi-billion dollar gas-export projects in Australia.

A recent slowing in China’s economy, rising cost pressures, and the potential emergence of competing natural gas supplies from North America and East Africa has sparked concerns that Australia’s liquefied natural gas, or LNG, sector is far too crowded.

Several projects costing more than US$175 billion combined are in construction along Australia’s eastern and northern coastline, and have locked in long-term supply contracts with LNG buyers. These include the huge Chevron Corp-led Gorgon and Wheatstone developments in Western Australia state.  MORE