gas plays in wa, page-2

Any new gas plays off WA or the Timor Sea will all have the same problem right now. That is, what are they going to do with their gas ?
The domestic gas market is very well supplied by the likes of Apache , WPL etc from infrastructure that is already in place and paid for, so they can cut costs as much as they want to secure ongoing domestic contracts.
The LNG market is controlled by the big boys,....Chevron , Woodside , Shell, BHP, Conoco-Phillips , Inpex, etc etc. Very few small cap Australian companies will get a look in. If I was a shareholder in KAR I would be asking where they are going to sell the gas and more importantly ,...when.Their partner Conoco-Phillips has just paid $8 billion to buy into ORG's Qld gas reserves and plan to supply all their new contracts from there.
The demand for LNG is not unlimited and supply is growing.
This means that there could soon be an oversupply and it could last another ten to fifteen years.
If you want to invest in the energy sector, look for smaller companies that have exposure to exploration programs for oil in large potentially structures.Better to stick with companies that are exploring in Australia than in Asia or Africa etc.
Hope this helps, even though some will disagree.
Occam