Thursday, November 27, 2014
100b of Australian LNG projects imperiled by African gas rush
The discovery along Africas east coast of the worlds biggest gas finds in a decade threatens to undo investment plans on the other side of the Indian Ocean. Royal Dutch Shell, BG Group of the UK and Frances Total may scale back projects to build liquefied natural gas export plants in Australia and switch to Tanzania and Mozambique, where the new prospects lie and will cost about half as much, according to Jefferies International.The LNG boom in Australia, where $180 billion of planned investment was set to make gas the countrys fastest-growing export over the next five years, risks losing strength as labor and material shortages force up building costs. As energy companies consider the next $100 billion of projects, a switch to East Africa would hold back Australias market share in China and India, where energy consumption is forecast to rise more than 60 percent by 2030.
“Because of the volume thats been discovered in East Africa, the economics look to be able to challenge Australian LNG projects, given the cost inflation they have experienced,” said Peter Hutton, an RBC Capital Markets analyst in London. “All companies will have that on their radar.”
The Asian market for LNG, gas thats chilled to a liquid for shipment by tanker, accounts for about two-thirds of global demand and will grow by 6 percent a year this decade, according to Sanford C. Bernstein & Co. Among six Australian projects scheduled to reach investment decisions in 2013, few will be approved because of climbing costs, Neil Beveridge, a Hong Kong- based analyst at Bernstein, said in a report this month.
Sunday, October 26, 2014
Wikileaks State Dept wants intel on African acceptance of GMOs
The Wikileaks release of U.S. State Department classified diplomatic cables may be problematic, but it has been quite a trove of information on the workings of our diplomatic corps. For the most part, the dump has confirmed things that we already knew about U.S. policy -- and that seems to be the case regarding the one mention of agricultural policy in these thousands of emails and documents (no doubt there are more) to which I was alerted.
Buried deep in a document that outlines priorities for intelligence gathering in the African "Great Lakes" countries of Burundi, the Republic of Congo, and Rwanda is a list (for the most part, very reasonable) of what the State Department would like to know about the regions agricultural policy. Things like government policies on food security and food safety top the list, for example, along with information on the impact of rising food prices in these countries. Agricultural yield statistics, infrastructure improvements, data on deforestation and desertification, water issues, and invasive species are included as priorities for "reporting" as well.
But also getting its own line item on the intel priority list is this:Government acceptance of genetically modified food and propagation of genetically modified crops.
Sigh.
Tom Philpott has reported on the State Departments biotech-loving science adviser Nina Federoff and her industry ties -- and certainly USDA Chief Tom Vilsack believes that genetically modified foods are an answer to world hunger. So this revelation hardly counts as a surprise. But its still a shame to see that our spymasters are actively engaged in efforts to make the world safe for Monsanto. Arent there better things for them to do?