Australian Stock Exchange Stocks to Watch
MEO Australia is focused on developing material gas processing projects in provinces with established liquefied natural gas (LNG) infrastructure.
The company is involved in three main projects, namely The Tassie Shoal Methanol Project, Timor Sea LNG Project, and the NT/P68 exploration permit located in the Money Shoal Basin.
MEO boasts a development proposal in place for a three million tonne per annum (Mtpa) LNG plant and two 1.75 Mtpa methanol plans in the Timor Sea, offshore Northern Territory.
The Bonaparte and Carnarvon Basins are both proven gas princes with established LNG infrastructure.
Following a fairly large investment, international energy giant Petrobras is now a major participant in the Carnavon Basin which adds to the credibility of the region.
Australia is fast becoming one of the worlds pinnacle gas players. In particular, the North West Shelf is known to be Australias gas rich region.
Over the past few years, we have seen an influx of investment in our local gas producers by some of the worlds biggest energy companies.
The likes of Shell, Petronas and BG Gas are already heavily invested in Australia as the rush for energy heats up.
Strong economic growth in developing and highly populated countries like China and India has seen the worlds energy demands surge.
Additionally, cleaner sources of energy have been a hot topic and LNG is believed to be one of the cleanest energy sources available.
Sustained demand for energy from fast-growing Asian economies is likely to see LNG demand continue to rocket.
A strong recovery in energy prices from the depths of the global financial crisis is a huge boost for MEO, and as a result, it has been one of the hot stocks in recent months.
Crude oil prices are surging on the back of a weaker US dollar and a strong recovery in economic conditions.
What sets MEO apart from other prospective gas players out there is its proximity to established infrastructure.
Further upside will likely come from surging oil and gas prices and new venture opportunities, meaning MEO will be one of the Australian Stock Exchange stocks to watch in coming months.
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