Energy Minister Angus Taylor wants Australia to capitalise on depressed global oil and gas markets to deliver cheap energy for industry and boost the strategic oil reserve during the coronavirus crisis.

The price of crude oil has plummeted, driven down by a price war among producing nations and coronavirus restrictions. The spot price for liquefied natural gas contracts is tied to the oil price and the gas market, a major energy source for Australian industry and manufacturing, has also seen price falls.

Energy Minister Angus Taylor. Credit:AAP

East Coast wholesale gas sold for $4.30 a gigajoule on Tuesday, down from contract prices that ranged between $9 to $12 a gigajoule earlier this year.

Mr Taylor told The Sydney Morning Herald and The Age the government was looking to invest in gas projects to provide more cheap energy, and indicated he would also snap up cheap oil to boost Australia’s strategic reserves.