From PNN on STO Half Year report:"One of the bigger shocks of...

From PNN on STO Half Year report:

"One of the bigger shocks of the year was Santos’ announcement that it was bringing forward $US2.5 billion ($A2.37 billion) in capital in an attempt to boost CSG deliverability into the GLNG project in the initial phase.

While the street read it as Santos admitting it was unable to bring up enough gas during the initial phase of the project to meet initial cargoes, it also flagged the sale of additional LNG, should it be able to find customers for it."

And:

"Aside from releasing its half-yearly accounts to the market today, Santos has told investors that it has officially flowed dedicated commercial shale gas from Moomba-191 in the northern Cooper Basin at 2.56 million cubic feet of gas per day.

It said it had tapped the Roseneath, Epsilon and Murteree targets with the vertical well, producing what it called first commercial production from an Australian shale gas well.

Production from the well will be tied into the Moomba facility later this year.

The well was drilled down to a total depth of 3010m, with each of the intervals fractured individually."

So, we have gas feedstock shortage confirmed again. And possibility for the shortage to be filled sooner than thought through CB shale gas.

There should be a Sentiment button for "wish I'd bought more".