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Shell expects to pay Australia no resource tax on gas drawn from Gorgon project

Fossil fuel multinational Shell does not believe it will ever pay the Australian government a cent in resource taxes for the gas it draws from the country’s biggest gas project, Gorgon.

The projection about taxes on the gas, which is likely to be sold for billions of dollars a year, is contained in the company’s latest annual report, released last month, and was first reported by energy news website Boilingcold.

It covers both Gorgon – a project off the West Australian coast that when fully operational is expected to provide 15.6m tonnes of gas a year – and Shell’s smaller Prelude project, a floating gas facility that also sits off WA.

Shell’s projection that it will never pay any PRRT is revealed in a note dealing with what are called “unrecognised losses” due to tax.


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