Fed: PM to try to enable Timor pipeline to go ahead

AAP General News (Australia)
08-01-2001
Fed: PM to try to enable Timor pipeline to go ahead

CANBERRA, Aug 1 AAP - Prime Minister John Howard said today the federal government
would talk to the East Timorese to try to enable the Timor Sea gas pipeline to Darwin
to go ahead.

South-East Australia faces gas supply problems after Phillips Petroleum today shelved
plans to build a $1.5 billion Timor Sea gas pipeline to Darwin.

"We'll talk to the East Timorese," Mr Howard told ABC television.

"We must respect the fact that East Timor is emerging to independence.

"But it does appear on our advice that the major reason why the major project is temporarily
in limbo is that the East Timorese were threatening a very significant increase in tax.

"Now that would scare any international investor away."

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KEYWORD: TIMOR GAP HOWARD

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