Santos Backtracks on Domestic Gas Supplies for Gladstone LNG Project

Australia's energy company Santos has announced it will stop taking gas from the domestic market for its massive LNG export project in Gladstone, Queensland.

The move comes after criticism that the project is driving shortfalls in the domestic market and contributing to higher prices. Critics say the project has distorted the east coast gas market, leading to price increases and supply uncertainty.

Santos' CEO Kevin Gallagher said the company will meet its commitments and mitigate any shortfalls through other means, without dipping into domestic supplies. However, some have questioned Santos' motives, pointing out that the company previously stated it saw its Australian operations as an opportunity to secure higher margins for shareholders.