Gladstone LNG Domestic Supply Compliance

planned

The project involves the Santos-operated Gladstone LNG plant in Queensland, which is targeted by the Australian federal government's Domestic Supply Obligation policy. The policy mandates reserving 20 percent of export volumes for the domestic market starting July 2027, affecting spot market and uncontracted volumes. The project faces operational challenges due to the new policy, impacting Santos and its partners TotalEnergies, Petronas, and Kogas, with competitors Australia Pacific LNG and Shell supporting the policy to ensure Santos contributes to the domestic gas supply.