BPH Energy (ASX:BPH): TSN -The Stock Network

The Stock Network

20 Jun 202410:30

Summary

TLDRThe presentation discusses the critical role of Advent Energy in addressing Australia's looming gas shortfall, emphasizing the importance of the Future Gas Strategy Report. It highlights the Sydney Basin project's alignment with the government's strategy for reliable, low-cost gas supply. The speaker also touches on the impacts of gas shortages, such as industry closures and job losses, and briefly introduces clean hydrogen and cortical technologies. The urgency of the situation is underscored by the potential shortfall equivalent to all gas used in manufacturing and households across several states.

Takeaways

📜 The presentation focuses on Advent Energy and the significant developments in the clean hydrogen market, with a particular emphasis on the Future Gas Strategy Report.
🚀 The Future Gas Strategy Report highlights the importance of bringing gas to market at the right time and place, and at the lowest cost, to support the transition to Net Zero by 2050.
📍 Advent Energy's project is located in the offshore Sydney Basin, which is strategically positioned to meet the criteria of the Future Gas Strategy Report.
🔍 The report includes a map showing the gas basins of Australia, with the Sydney Basin being an accepted producing gas basin, indicating the project's potential significance.
📉 Energy Quest, an independent energy commentator, warns of a looming gas shortfall in Australia that could emerge as early as next year and a deep structural deficit by 2028.
📊 A steep drop in offshore gas production from Victoria's Bass Strait has led to a dynamic change in the gas supply situation, emphasizing the need for new projects.
🏭 The script outlines the negative impacts of gas shortages on Australian industries, including job losses and factory closures, affecting manufacturing and energy supply.
💡 Clean hydrogen is transitioning from proof of concept to production, with Advent Energy producing high-quality carbon nanotubes that have shown significant benefits in battery operations.
🌐 Cortical, a medtech device for anesthesia monitoring, has existing approvals in Europe, the USA, Korea, and Australia, and is in the process of upgrading with AI integration.
⏳ The urgency of the gas supply situation is underscored by predictions of an 800 Petajoules per year shortfall by the early 2030s, equivalent to all gas used in manufacturing and households in several states.
🌐 The script concludes with a call to action regarding the importance of gas supply for jobs and homes in Australia, with 300,000 jobs and 5 million homes relying on gas.

Q & A

What is the main focus of the presentation?
-The main focus of the presentation is on Advent Energy and the significant developments in the clean hydrogen and gas market, particularly in relation to the Future Gas Strategy Report.
What does the Future Gas Strategy Report highlight as a key focus of the government's strategy for new projects?
-The report highlights that relying on LNG imports and developing additional forecast gas supply from existing 2P reserves is a key focus of the government's strategy for new projects.
How does the location of Advent Energy's project in the offshore Sydney Basin relate to the criteria set out in the Future Gas Strategy Report?
-The location of Advent Energy's project, being 26 km out from Newcastle in the Sydney Basin, meets the criteria of being proximal to where gas is needed and potentially offering a lower cost supply.
What is the current issue with gas supply and demand as mentioned in the script?
-The current issue is that gas supply is decreasing faster than demand, which can lead to shortages, disruptions, and high prices.
What are the guiding principles outlined in the strategy paper regarding the role of gas in the economy?
-The guiding principles state that gas remains crucial to the economy up to 2050, supporting the transition to Net Zero, and must be brought to market at the right time, place, and at the lowest cost.
What does the map included in the presentation show about the gas basins of Australia?
-The map shows the gas basins of Australia, particularly highlighting the Sydney Basin where Advent Energy's project is located, indicating it as an accepted producing gas basin.
What is the potential critical importance of Pep 11 as mentioned in the script?
-Pep 11 is one of the two remaining permit areas in New South Wales, which could be critical for addressing the looming gas shortfall and ensuring gas supply for households and businesses.
What does Energy Quest suggest as Australia's plan B to address the looming gas shortfall?
-Energy Quest suggests that Australia must develop a plan B, which includes bolstering Eastern Seaboard supplies, to head off the looming gas shortfall that could emerge as early as the next year.
What are some of the industry impacts mentioned due to gas price increases and supply issues?
-Some industry impacts include closures and job losses in various sectors such as manufacturing, steel production, and gas trading operations, with specific examples given like the closure of Opal's white paper manufacturing and job losses at Santos.
What is the significance of the clean hydrogen technology mentioned in the script?
-The clean hydrogen technology, specifically the Turquoise Hydrogen System, is significant as it produces high-quality carbon nanotubes that have immense conductivity and thermal dissipation properties, leading to benefits such as a 25% increase in battery range in tests.
What is the potential impact of the gas supply constraints on manufacturing and households as highlighted in the script?
-The potential impact includes the need for manufacturing plants to close operations during peak periods, increased reliance on gas-fired power, and the risk of not having gas available at the right cost or supply levels, affecting both manufacturing and households.

Outlines

00:00

🚀 Future Gas Strategy and Advent Energy's Role

The speaker introduces the topic of BPH (presumably a company or project) and its focus on Advent Energy, clean hydrogen, and cortical. The main emphasis is on the recent release of the future gas strategy report, which highlights the importance of bringing gas to market at the right time and place, and at the lowest cost. The report also addresses the looming gas shortfall and the government's strategy to rely on LNG imports. The speaker mentions the Sydney Basin project's alignment with the strategy's criteria and the critical need for a reliable gas supply to prevent price hikes and shortages. The importance of gas for the economy until 2050 and its role in the transition to Net Zero is also discussed.

05:01

📉 Impact of Gas Shortfall and the Need for Plan B

This paragraph discusses the urgent need for a plan B to address the impending gas shortfall in Australia, which could occur as early as the next year and become a deep structural deficit by 2028. The speaker cites Energy Quest's recent update, emphasizing the necessity to bolster Eastern Seaboard supplies due to a significant drop in offshore gas from Victoria's Bass Strait. The impact of the gas price increase is illustrated through industry closures and job losses in various sectors, including manufacturing and energy trading. The speaker also touches on the potential issues with relying on LNG imports, such as higher costs and supply constraints, and the importance of developing domestic gas resources like the ones in the Sydney Basin.

10:07

🌐 Clean Hydrogen and Cortical Innovations

The speaker briefly mentions the advancements in clean hydrogen technology, transitioning from concept to production. They highlight the production of high-quality carbon nanotubes from the Turquoise hydrogen system, which have superior conductivity and thermal dissipation properties. The benefits of this technology are demonstrated through a 25% increase in battery range during tests in India. Additionally, the speaker discusses the development of a new generation of a Medtech device called Cortical, which involves AI and upgrades to existing hardware and software. The paragraph concludes with a reminder of the gas shortfall's urgency, as stated by Minister King, and the potential impact on manufacturing and household gas usage across Australia.

🏭 Gas Supply's Importance for Jobs and Homes

In the final paragraph, the speaker emphasizes the importance of gas supply for the economy, noting that 300,000 jobs in New South Wales and five million homes across Australia rely on gas for heating and energy. The speaker thanks the audience for their time and concludes the presentation by reiterating the critical role of gas in supporting jobs and homes, and the need for timely and cost-effective gas supply solutions.

Mindmap

Keywords

💡BPH

BPH, or Benign Prostatic Hyperplasia, is a medical condition that affects the prostate gland. However, in the context of the video script, it seems to be an acronym for a company or project related to energy. The speaker mentions 'energy code BPH' and discusses gas supply and energy projects, indicating that BPH might be a code name or identifier for a specific energy-related initiative.

💡Advent Energy

Advent Energy is likely the name of a company or project that is central to the video's discussion. The speaker focuses on significant developments related to Advent Energy, particularly in the context of the gas market and future energy strategies. It is implied that Advent Energy is involved in the production or supply of gas, which is a critical component of the energy market discussed in the script.

💡Future Gas Strategy Report

The Future Gas Strategy Report is a document mentioned in the script that outlines the direction and plans for gas supply and use. It discusses the importance of gas being proximal to where it is needed and the focus on LNG (Liquefied Natural Gas) imports. The report is integral to the video's theme as it sets the stage for discussing the current and future state of the gas market and the role of projects like Advent Energy within it.

💡LNG Imports

LNG, or Liquefied Natural Gas, is a form of natural gas that has been converted to liquid form for ease of storage and transport. The script mentions LNG imports as a key focus of the government's strategy for new projects, indicating that importing LNG is seen as a solution to meet gas demand. The reliance on LNG is part of the broader discussion on energy security and supply in the video.

💡2P Reserves

2P Reserves refer to 'Proved plus Probable Reserves,' a term used in the oil and gas industry to describe the estimated quantities of oil and gas that are both geologically and commercially recoverable. In the script, the speaker mentions that developing additional forecast gas supply from existing 2P reserves is a requirement, highlighting the importance of these reserves in meeting future gas demands.

💡Sydney Basin

The Sydney Basin is a geographical region mentioned in the script, which is significant for the location of the project discussed. It is described as an 'accepted producing gas basin,' indicating that it is a known area for gas production. The speaker uses the Sydney Basin as an example to illustrate where their project is situated and why it is strategically important.

💡Energy Quest

Energy Quest is referred to as a respected independent energy commentator in the script. They have released an update discussing the looming gas shortfall in Australia and the need for a plan B to address it. The mention of Energy Quest adds credibility to the concerns raised in the video about the future of gas supply and the potential impacts on the economy.

💡Clean Hydrogen

Clean Hydrogen is a term used in the script to describe a form of hydrogen production that does not emit greenhouse gases. The speaker mentions that the industry is moving from proof of concept to actual production, with specific examples of technologies like the Turquoise Hydrogen System. Clean hydrogen is presented as a part of the broader energy transition and a potential solution to reducing carbon emissions.

💡Cortical

Cortical is mentioned in the script as a Medtech device, which is a medical technology product. It has existing approvals in various regions, including Europe, the USA, Korea, and Australia. The speaker discusses the development of a new generation of the device involving AI, indicating that Cortical is part of the advancement in medical technology and potentially related to anesthesia monitoring.

💡Gas Shortfall

The term 'gas shortfall' is used in the script to describe a projected deficiency in the supply of gas. It is a critical issue discussed in the video, with the potential to emerge as early as the next year and a deep structural deficit by 2028. The gas shortfall is tied to the main theme of the video, which is the need for secure and affordable energy sources.

💡Manufacturing and Household Gas Use

The script highlights the importance of gas for both manufacturing and household use, particularly in the states of Queensland, Victoria, New South Wales, the Northern Territory, and South Australia. The speaker emphasizes that the projected gas shortfall is equivalent to all the gas used in these sectors, underlining the significance of the issue for the economy and everyday life.

Highlights

Introduction to the presentation on BPH energy and Advent energy focusing on significant market developments.

Mention of the Future Gas Strategy report released by the government, focusing on reliable and lower-cost gas supply.

The Sydney Basin offshore project by Advent energy meets criteria set by the Future Gas Strategy.

Minister King's emphasis on reliable gas supply to keep energy prices down for households and businesses.

Guiding principles from the strategy paper: gas remains crucial to the economy up to 2050 and supports the transition to Net Zero.

Sydney Basin identified as an accepted producing gas basin in the future gas strategy.

Petroleum permits in Australia, highlighting two key permit areas in New South Wales: Santos Narab and the Pep 11 project.

Energy Quest's report emphasizing the need for a plan B to address the looming gas shortfall by 2028.

Decreasing Gippsland Basin production by 24.8% and its impact on gas supply dynamics.

Industry closures and impacts over the last two years due to gas price increases and supply issues.

Brief mention of clean hydrogen and its potential benefits, including production of high-quality carbon nanotubes.

Cortical anesthesia monitoring device development and its approvals in multiple regions.

Minister King's statement on an 800 petajoule per year gas shortfall expected into early 2030.

Impact of gas-fired power increasing to 16 GW by 2050 and constraints in the gas supply network.

Emphasis on the importance of gas supply for 300,000 jobs in New South Wales and five million homes across Australia.