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Gorgon boosts investment to record level
The Gorgon LNG project lifted the amount of capital expenditure on minerals and energy developments in the past year according to the Australian Bureau of Agricultural and Resource Economics (ABARE).
Image courtesy of Chevron Australia
By Sineva Toevai – www.lloydslistdcn.com.au
ABARE stated in a report that expenditure was at a record $112.5 billion , with 74 projects at an advanced stage of development at the end of October.
Thirty eight of the projects were energy-related, 31 were mineral developments and five were mineral processing jobs.
The value of the 74 projects rose 67 per cent from the same period last year.
"The record value of advanced minerals and energy projects reflects, in part, the decision to proceed with development of the $43 billion Gorgon LNG project," ABARE director Dr Terry Sheales said.
"It is the single largest project undertaken in Australia's resource sector."
Western Australia made up 83 per cent of total capital expenditure for advanced projects, with eight oil and gas developments valued at $67.2 billion and eight iron ore projects worth $16.8 billion.
Queensland accounted for 8 per cent of capital expenditure on advanced projects.
ABARE added 44 new projects to its list in the six months to October, a jump from the 31 recorded in the same period last year.
The new projects signalled a "positive outlook for world minerals and energy commodity demand over the medium to longer term", Dr Sheales said.
Source: Lloyd’s List Daily Commercial News – www.lloydslistdcn.com.au
