STX 2.50% 20.5¢ strike energy limited

I dont see this pipeline as anything more than a "pipe" dream....

  1. 30 Posts.
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    I dont see this pipeline as anything more than a "pipe" dream. Considering the new Jemena pipeline from NT to the East has been built at such a small diameter because no one was interested in joint funding..... East Coast gas suppliers love the high prices for gas, yes users are unhappy and would like it cheaper, but why would the suppliers want to spend their money to make it cheaper, plenty of gas on the East coast, just premium to WA gas price.

    Further say the pipeline is built, wont that just make the East Coast gas cheaper....? the model being argued is if we can get WA gas to the East coast we can get paid a premium.... but if you get large volumes of WA gas to the East Coast the price will come down and there will be no premium, best option is to look for local investment, Urea, Methanol plants, etc in WA for WA. Lastly, the compression, Capex, Opex of a pipeline make it untenable.
 
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