Australia Pacific LNG's revenue down 25% in October-December

Australia Pacific LNG (APLNG) project's commodity revenue in the October-December (Q2) quarter was A$2.38bn ($1.56bn) down 25% year/year owing to lower product prices, Origin Energy, one of the partners in the project, announced on January 31. The revenue was up 1% quarter/quarter, however. 

The average price of LNG was $11.88/mn British thermal units (btu), reflecting a 25% decrease compared with the previous year. However, there was a marginal uptick of 2% in prices when assessed on a quarter/quarter basis.

APLNG, a joint venture comprising Origin, ConocoPhillips, and China's Sinopec, is Australia's largest producer of coalbed methane (CBM) and supplies gas to Queensland's domestic gas market, while also processing CBM into LNG for exports.

Origin's revenue from its stake in APLNG in Q2 fell 28% yr/yr to A$591mn. 

A consortium led by Brookfield Asset Management and MidOcean Energy, a unit of EIG, recently attempted an acquisition of Origin. However, the deal, which included Brookfield's acquisition of Origin's energy markets business and MidOcean's acquisition of the integrated gas business, including a 27.5% interest in APLNG, faced an unsuccessful outcome.

AustralianSuper, Origin Energy's largest shareholder, played a significant role in this scenario. It had repeatedly stated its intention to vote against the takeover bid.