Despite a torrent of press reports on the matter since January, Arrow is yet to confirm the number of jobs it has axed, although it did acknowledge the “difficult time” facing its employees that month.
Owned 50:50 by PetroChina and cost-focused Royal Dutch Shell, reports had suggested 250-400 jobs were shed.
The Australian is sticking with its claim that 250 jobs were culled even after it reported last week that Arrow’s full year accounts, submitted to the Australian Securities and Investments Commission, revealed the company increased its workforce to 1173 employees compared to 1136 in the previous year.
An Arrow spokesman has chosen not to comment on that press report either, leaving the company vulnerable to further speculation.
There are some views that Arrow’s owners might simply wish to shelve Arrow’s LNG project until the other three Curtis Island-based LNG projects are complete, to avoid the costly process of competing with them for skilled labour, equipment and suitable contractors.
There are other thoughts Arrow could instead sell off its CSG resources in the state to the other LNG projects – and it has previously been assessing “collaboration opportunities”.
The Santos-led Gladstone LNG joint venture is still a possible customer even after agreeing in December to buy 365 petajoules of gas over a 10-year period from rival Curtis LNG player Origin Energy, with supply starting in early 2016.
With the 7.8 million tonne per annum-targeting GLNG project recently passing the 75% completion mark, Santos is still hunting for more gas but did not confirm it was in talks with Arrow or reveal any other gas deal-making progress.
“We will continue to seek third party gas, particularly during the ramp-up phase,” a Santos spokesman told ENP.
“We will continue to announce any deals as and when they are made, as opposed to running daily commentary on this.
“In terms of Arrow, we have always said that collaboration is welcome.”
The GLNG project aims to start producing next year, while the BG Group-led Queensland Curtis LNG project is seeking more third party gas sooner as it targets first exports in the December quarter.
In late November this JV agreed to buy 30PJ of gas from Origin over two years, with the QCLNG project targeting 8.5Mtpa capacity.
