Ah yes, the charming gas cartel:
It’s just what Woodside shareholders want to hear. The record $US6.5 billion profit ($9.6 billion) for the full year reflects global high oil and gas prices and Woodside’s decision to double down on the future of oil and gas by acquiring all of BHP’s petroleum assets last year.
According to O’Neill, the unpredictable impact of the government’s recent intervention in the gas market, including the indefinite imposition of a “reasonable price”, makes the case for Woodside’s additional domestic investment much less clear-cut.
This includes BHP’s former assets in Bass Strait that supply the east coast market. Given Bass Strait has mature fields with declining production, O’Neill says it’s even more important to manage the costs of running them.
One result is that Woodside has taken the unusual step of limiting the approved budget for Bass Strait to six months.
Why are we pretending that this is business as usual? This is a declaration of war by Woodisde upon its home nation. A nation that has provided it with untold wealth, nurtured it and protected it from takeover.
Bass Strait gas prints money at $12Gj:
Nations invade one another for their energy resources. Yet Woodside won’t develop Australia’s for a 100% markup? After earlier suspending sales.
This is not business as usual. It is extortion and Woodside should be treated accordingly.
Time for “use it or lose it” laws and the expropriation of assets.
Somebody else will invest in these assets.
