About
Increasing transparency in the WA domestic gas market, particularly on how producers are meeting their domestic gas obligations under the WA Domestic Gas Policy (Policy) is critical to support an efficient functioning gas market and effective operation of the Policy.
The WA Domestic Gas Statement (Statement) is designed to improve the operation of the WA gas market and the WA Domestic Gas Policy by providing market participants with the information they need. This Statement provides information on how LNG exporters are complying with their obligations to meet their 15% reservation requirements, and how much gas is expected to be supplied in the WA market in the short to medium term.
JTSI has worked with the Australian Energy Producers and its members to develop a transparency model that provides information to the market on:
- Historical gas supply by producer and expected supply by project;
- Each operating domestic gas project; and
- Each domestic gas producer, including their obligation to supply the domestic gas market and strategy to meet their domestic gas obligation by end of field life and/or commitment life.
The publication of the Statement responds to the findings from the recent Inquiry into the WA Domestic Gas Policy, which called for increased market transparency.
The WA Government intends to update the WA Domestic Gas Statement on an annual basis and in future will consider the inclusion of additional information such as demand profiles.
The effectiveness of the WA Domestic Gas Statement will be reviewed after 24 months, with the Government to consider legislating the transparency measure if required.
Notes:
Devil Creek, Beharra Springs, Walyering, Macedon and Varanus Island are 100% domestic-only projects and therefore do not have a Domgas Commitment under the WA Domestic Gas Policy. Domgas commitment is indicative as of 31 December 2023.
All figures are reported in calendar years.
For LNG projects, remaining domgas to be supplied includes the remaining commitment volume (PJ) and the daily rate of supply required to meet the commitment before end of field life and/or commitment life (TJ/d) subject to proponents' entitlement to the domgas plant’s nameplate capacity. For domestic-only projects this includes the estimated supply based on the remaining reserves.
Expected domgas supply is aggregated and provided at a Joint Venture level. These numbers are estimates and non-binding. Actual volumes are subject to factors including, but not limited to, volumes nominated by existing and future customers, planned and unplanned maintenance activities and future contracting activities.
Includes volumes executed during the negotiation of the North West Gas Development (Woodside) Agreement Amendment Act 2015 (42.743 PJ).
The Pluto Domgas commitment requires that Woodside markets and makes available Domgas subject to commercial.
As at end 2023, Woodside’s domestic gas commitment was 20.5 PJ, which is 15% equivalent of 2.5 Mt of LNG. From April 2024, Woodside’s new commitment is 49.2 PJ.
As of 31 December 2023, LNG Japan and JERA were not partners to the Scarborough project. In March 2024, LJ Scarborough Pty Ltd (LJS) completed the acquisition of a 10.0% participating interest in the Scarborough Joint Venture (SJV) from Woodside Energy Australia (WEA). In February 2024, WEA entered into a sale and purchase agreement with JERA Scarborough Pty Ltd to sell a 15.1% participating interest in the SJV. Completion of the transaction is expected in the second half of 2024.
Equity share, based on first cargo targeted for 2026.
Proponent did not provide.
This figure reflects gross production from L11/L22 through the Beharra Plant, including from previous owners and JV parties. There is some uncertainty with this number given the long history and record keeping, but this should be considered a reasonable assessment.
Macedon produces pipeline gas solely for the Western Australian domestic gas market.
Projects
Show moreLNG Projects:
- Gorgon
- North West Shelf
- Pluto (including Pluto Acceleration and Additional Commitment)
- Scarborough
- Waitsia
- Wheatstone
Domestic-only projects:
- Beharra Springs
- Devil Creek
- Macedon
- Varanus Island
- Walyering
Proponents
Show more- bp
- Beach Energy
- Chevron
- ExxonMobil
- JERA
- KUFPEC
- Kyushu Electric
- LJ Scarborough
- MidOcean Energy
- MIMI
- Mitsui
- Osaka Gas
- PE Wheatstone
- Santos
- Shell
- Strike Energy
- Woodside
Glossary
Show moreBackfill:
Connecting additional gas fields or reserves to an existing gas production facility, instead of building new processing infrastructure (sometimes referred to as a tie-back).
Domestic-only:
Refers to projects that are obligated to reserve the entirety of gas production for domestic usage (except Waitsia which has an exemption to export until 2028).
Domgas:
Domestic Gas
Domgas Commitment Agreement (DCA):
Comprises an overview of participant’s domgas commitment volume and obligations under the agreement (i.e. reserve gas, develop and/or access infrastructure and marketing in good faith).
Domgas implementation strategy:
Commentary on gas supplied to date against commitment, evidence of good faith marketing and a summary of the participant’s strategy to meet its remaining domestic gas commitment by end of project life and/or commitment life, taking into account the forecast market balance.
FID:
Final Investment Decision
GBB:
Gas Bulletin Board
GSPA:
Gas Sales and Purchase Agreement
Joint venture:
A business agreement in which parties agree to develop, for a finite time, a new entity and new assets by contributing equity. Commonly referred to as JV. Parties within the Joint Venture are referred to as Joint Venture Partners (JVP).
KGP:
Karratha Gas Plant
LNG:
Liquified Natural Gas
LNG projects:
Refers to projects that transport and process the gas onshore for the purposes of export. LNG export projects are obligated to reserve a portion of gas for domestic usage as per the WA Domestic Gas Policy.
Minister:
The Minister for State and Industry Development, Jobs and Trade
mmboe:
Million barrels of oil equivalent
Mt:
Million tonnes, which is the primary measurement for LNG
Mtpa:
Million tonnes per annum
Nameplate capacity:
The intended full-load sustained output of a facility such as a gas processing facility.
NWS:
North West Shelf
PDNP:
Proponent did not provide
PJ:
Petajoules. The joule (J) is the standard unit of energy in general scientific applications. One joule is the equivalent of one watt of power radiated or dissipated for one second. One petajoule (PJ) is 10*10^15 joules (1 million billion) or 278 gigawatt hours.
SPA:
Sales Purchase Agreement
State Agreement:
A legislated contract between the WA Government and proponents of major resources projects which has been ratified by an Act of the WA Parliament. State Agreements specify the rights, obligations, terms and conditions for development of the project and establish a framework for ongoing relations and cooperation between the State and the project proponent. The gas projects that are contained by State Agreements are the Gorgon Gas Processing and Infrastructure Project Agreement under the Barrow Island Act 2003 and the North West Gas Development (Woodside) Agreement under the North West Gas Development Woodside Agreement Act 1979.
Summary of asset activity (2023):
Summary of asset activity in 2023, including information pertaining to supply, reserves, infrastructure (maintenance and outages) and other developments.
Summary of asset activity (2024):
Summary of asset activity in 2024, including information pertaining to supply, reserves, infrastructure (maintenance and outages) and other developments.
TJ/d:
Terajoules per day. The joule (J) is the standard unit of energy in general scientific applications. One joule is the equivalent of one watt of power radiated or dissipated for one second. One terajoule (TJ) is 10^12 joules (1 trillion).
Ullage:
Spare capacity for processing of gas. Ullage typically becomes available as demand for processing services decline, particularly as fields decline.
WA Domestic Gas Policy (Policy):
Obligation for LNG exporters to reserve and make available domestic gas equivalent to 15% of LNG production for the domestic market.
WA Domestic Gas Statement Disclaimer
Show moreThe WA Domestic Gas Statement is provided for general information purposes only. It is not intended to be an exclusive, exhaustive or comprehensive compilation of information on domestic gas supply and does not constitute in any way endorsement of these figures or statements by the Western Australian Government.
The information has been provided to the Western Australian Government by third party domestic gas suppliers in good faith and is believed to be accurate and current at the time of publication, but this cannot be guaranteed. The Western Australian Government makes no representation, warranty or claim of any kind (express or implied) about the completeness, accuracy, reliability or suitability, with respect to the information provided by third parties. The user is solely responsible for making their own assessment of the information, its completeness, accuracy, reliability and suitability.
The Western Australian Government does not accept any liability to any person for the information or the use of such information contained in WA Domestic Gas Statement or incorporated by reference. To the fullest extent permitted by law, the Western Australian Government, its officers, employees, agents and representatives, shall in no way be liable, in negligence or howsoever, for any loss, damage, cost or expenses (regardless of whether the loss is direct, indirect or consequential) caused, sustained or incurred by anyone using or relying on the information, even if such information is or turns out to be wrong, incomplete, out of date or misleading.
