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    Aussie offshore regulator approves revised Barossa plan

Summary

Drilling at the project has been suspended since September last year after a judge set aside the acceptance by NOPSEMA of the original environment plan covering the drilling activities.

by: Shardul Sharma

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Natural Gas & LNG News, Asia/Oceania, Liquefied Natural Gas (LNG), Security of Supply, Corporate, Political, News By Country, Australia

Aussie offshore regulator approves revised Barossa plan

Australian energy giant Santos announced on December 18 that the revised drilling plan for its Barossa gas project has received approval from the country's offshore regulator, the National Offshore Petroleum Safety and Environmental Management Authority (NOPSEMA).

The Barossa gas project, operated by Santos, is a significant offshore gas and condensate initiative designed to provide a fresh source of gas to the existing 3.7mn tonnes/year Darwin LNG facility in the Northern Territory. The $3.6bn investment programme got underway with the project's final investment decision last March 2021, with the first gas due in 2025. 

Santos revealed that the Barossa Development Drilling and Completions Environment Plan (EP) gained acceptance from NOPSEMA on December 15. Drilling at the project has been suspended since September last year after a judge set aside the acceptance by NOPSEMA of the original environment plan covering the drilling activities.

“Following the setting aside of NOPSEMA’s March 2022 approval of the EP in September 2022, Santos has conducted further extensive consultation with Tiwi Island people and other relevant persons consistent with the applicable regulations, NOPSEMA’s guidelines, and guidance provided by the decision of the full federal court in the Tipakalippa proceedings,” the company said. 

Santos said it is proceeding with applications for all remaining approvals for the project.

While Santos is now able to proceed with the drilling component of the project, challenges persist in the form of an ongoing litigation in the federal court regarding the validity of the gas pipeline. Simon Munkara, a Tiwi Islander, filed a legal challenge to the pipeline plans just days before the scheduled commencement of work in October. 

The Environmental Defenders Office (EDO), a non-profit organisation, representing the indigenous group alleges that the pipeline will have significant environmental impacts and risks, in particular to submerged Tiwi cultural heritage.

Santos earlier this month said it was in early talks with another Australian energy company Woodside to create an A$80bn global oil and gas giant.