Santos Drops Domestic Gas Dipping for Gladstone LNG Plant

Santos, one of Australia's biggest energy companies, has announced that it will no longer take gas from the domestic market for its Gladstone LNG plant. This move comes as a response to criticism that the project has driven shortfalls in the domestic market and contributed to the federal government's decision to introduce a domestic gas reservation.

The company's chief executive, Kevin Gallagher, stated at the National Press Club in Canberra that the project 'will not contract any third-party gas going forward' and will instead meet its commitments through other means.

This commitment has been met with skepticism by some, who point out that Santos previously told investors it saw its Australian operations as a chance to secure higher margins for shareholders. Tim Baxter, owner of Naru Research, said that Santos had 'no right to give a self-interested lecture on energy security'.