Origin Energy has more than doubled annual sales of oil and gas, reaping the benefits of the ramp-up of its APLNG venture in Queensland and laying the groundwork for the looming spin-off of the conventional oil and gas business, Lattice Energy.
The Australia Pacific LNG project provided a boost to sales of almost $1 billion as the second production unit on Gladstone’s Curtis Island was brought fully online. Origin’s 37.5 per cent stake in APLNG generated $1.46 billion of sales in the full year.
But sales of conventional oil and gas also increased, by 26 per cent to $746.9 million, bringing total revenues from petroleum to $2.2 billion, up 105 per cent on 2015-16.
Higher prices across the board helped fuel the gains, but natural gas prices remained relatively modest considering the squeeze in the east coast market, with the average price rising to $4.36 a gigajoule from $3.22.