A new IBISWorld report has listed the oil and gas industry as the country’s highest growth sector for next year.
Despite the overall falling oil price, the survey reveals continued expansion in the energy sector.
IBISWorld has forecast revenues of $40.271 billion for this financial year, and expects a growth rate of 12.8 per cent year on year, with revenues expected to jump to $45.409 billion for the 2015/16 financial year.
This is a huge increase from the average compound 5.8 per cent growth rate recorded between 2010 and 2015.
“There has been unprecedented capital investment in oil and gas extraction over the past decade, the benefits of which are anticipated in 2015-16,” IBISWorld senior industry analyst Ryan Lin added.
The demand for these will come predominantly from Asia, in particular Japan, as the nation’s energy suppliers move to gas fired plants in the wake of the 2011 nuclear disaster.
“Strong demand from Japan for natural gas will be met by increasing LNG production across Australia. Investment in export facilities will also make the Japanese market more accessible to Australian producers,” Lin said.
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