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Port Kembla LNG terminal delayed by demand for double capacity

The state’s first liquified natural gas (LNG) terminal port may be delayed until 2021 as high demand requires it to double its capacity.

The New South Wales government approved plans for the Port Kembla LNG terminal to bring gas from the west coast to the east coast.

But feedback from the community has shown there is a greater demand for gas than originally thought.

One of the joint-venture partners Squadron Energy CEO Stuart Johnston tells Ross Greenwood they were surprised by the response from potential customers.

“There is a great deal of demand and that demand is really concentrated in the Aussie winter.

“We have to go back and apply for a modification… so that we can actually increase that winter volume.”

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