W.A. Today reported on 15 October 2021 that Woodside’s $16.4 billion Scarborough LNG project could be a dud investment if the world commits to net-zero emissions by 2050, according to projections in the International Energy Agency’s World Energy Outlook released on Wednesday 13th October.
Woodside plans to expand its Pluto LNG plant to process gas from the Scarborough field in Western Australia’s North.
The IEA issued its influential annual report earlier than usual to spell out what was at stake before delegates arrived in Glasgow for the Conference of Parties meeting.
The net-zero emissions by 2050 scenario first published in May by the IEA, required no new gas fields to be developed beyond those already approved.
Further details published by the IEA on Wednesday indicate sending Scarborough gas to an expanded Pluto LNG plant file may be detrimental to the finances of Woodside shareholders, as well as the climate.
Under the Paris-based agency’s net-zero scenario, gas prices will fall with demand and any LNG projects with a break-even price of more than $US5 per million British thermal units (MBtu) would be at risk of failing to recoup their investment costs.
Read the full article in W.A. Today by clicking here.
This is why we need to urgently stop Scarborough from going ahead.
350 Perth is committed to a just transition away from fossil fuels in Western Australia. Whilst the current government has hitherto been failing to act on climate, we currently have a HUGE opportunity to intervene.
Building the climate movement here in WA will also put pressure on the federal government to act in alignment with the community rather than with fossil fuel interests.