"Stepping on the Gas" JPMorgan's Coal Seam ... - Origin Energy

By 2010 significant new generation will be required, andOrigin estimates that gas is capable of meeting all of therequired growth in the NEM through to around 2020…Electricity Growth350• Growth in electricity demand will create ademand wedge through to 2020 of around320 TWhSupply (TWh)300250200150200520072009201120132015Existing Supply20172019Growth• If this demand was satisfied by gas-firedbase load combined cycle gas generation itwould require 2,700 PJ of gas through to2020• Approximately 7,500 PJ of gas would berequired to extend the gas supply to ensurea 20 year life for the generation built• Origin estimates that there is­ Over 7,400 PJ of uncontracted 2P gasreserves in eastern Australia (includingCSG and conventional)­ Over 6,000 PJ of additional CSGpotential in Queensland alone on thebasis of published reports23Source: Origin Energy estimates, NEMMCO, various industry reports (including Wood MacKenzie)