Ichthys gas project to go ahead: Midday Roundup

The $US32.8 billion Ichthys gas project in Darwin will now go ahead, with Japanese group Inpex leading the charge.

In a statement, Inpex and French group Total said they had both been given approval to start the project.

The gas will be harvested in the Ichthys gas field offshore from Western Australia, pumped to Darwin to process into LNG.

The project will require 2,700 workers at its peak, with the entire endeavour expected to add nearly 18% to NT’s gross state product for every year of its 40-year lifespan.

ANZ leaves rates unchanged

Meanwhile, ANZ Banking Group has left rates unchanged, in its first ever rates announcement outside of the Reserve Bank’s cash rate announcement.

ANZ’s variable mortgage lending rates will remain steady at 7.3%.

QBE shares continue to fall

Shares in QBE Insurance Group have continued to fall this morning, after a profit announcement yesterday sent prices plummeting as much as 30%.

This morning shares have dropped a further 3.7% to $10.93 despite the overall index rising 0.39%

The company said yesterday its profit after tax could fall between 40-50%. It also announced a drop in its dividend from 55 cents to 28 cents for 2011.

Shares higher on hopes for Europe

The Australian sharemarket has opened higher today after positive leads from offshore markets, as investors become hopeful the European debt crisis is resolving itself.

The benchmark S&P/ASX200 index was up 20 points or 0.5% to 4201.9 at midday, while the Australian dollar also rose to $US1.03c.

Commonwealth Bank shares rose 0.46% to $50.14 as NAB shares rose 0.98% to $23.79. ANZ rose 0.33% to $21.17 as Westpac rose 0.44% to $20.70.

In the United States, the Dow Jones Industrial Average rose 21 points or 0.2% to 12,471.

Kim Carr calls on opposition to support automotive industry

Manufacturing Minister Kim Carr has called on the Opposition to support the Australian automotive industry, after reports indicated there was turmoil in the Opposition over whether to support the subsidies.

“I would give all strength to those elements of the Opposition that are actually genuinely interested in manufacturing. I know there are some of them there,” Carr told ABC Radio.

“Mr Abbott has made a great play of putting on the fluoro vest and going around to factory after factory and expressing sympathy with the struggles that blue collar workers are facing.”

“Now he’s got to do that beyond the camera shot. I call upon the Liberal Party to face up to its responsibilities to blue collar workers and join with us and help save thousands of blue collar jobs.”

Queensland budget to reach early surplus

Queensland treasurer Andrew Fraser has said the state budget will return to surplus one year earlier than forecast.

The news was delivered alongside the Government’s mid-year budget update. The Government now expects a deficit of just $2.85 billion in 2011-12.

“Under the proven leadership of Anna Bligh, we put in place a plan to return the budget to surplus and we are sticking to that plan,” he said.