Fracking Cleared in Northern Territory

(Adds industry comment at end)

The inquiry examining hydraulic fracturing in Australia’s Northern Territory has submitted its final report with the conclusion that the risks associated with the widespread industrial practice are, at the very least, manageable. 

The state is home to the Beetaloo shale formation, where Origin and Falcon are partners in a project that has been suspended since late 2016.

“No industry is without risk, and any onshore shale gas industry is no exception. However, it is the panel’s opinion, expressed in the final report, that if all of the recommendations are implemented, the identified risks associated with any onshore shale gas industry can be mitigated or reduced to an acceptable level, and in some cases, the risks can be eliminated,” the chair of the inquiry, Justice Rachel Pepper, said March 27.

The Northern Territory government announced a moratorium in September 2016 while it carried out an environmental impact assessment. Pepper emphasised that it is not the role of the inquiry to recommend whether or not that the moratorium on fracking in the Northern Territory is lifted.

“Today the inquiry delivered its final report to the government and in doing so fulfilled its terms of reference. The decision whether or not to retain the ban on hydraulic fracturing in the Northern Territory is a political decision that rests with the government alone,” she said.

The recommendations included careful consideration in which land will be released; using world-leading engineering standards and new technologies, comprehensive monitoring and comprehensive consultation with Aboriginal communities.

Welcoming the findings, Falcon CEO Philip O'Quigley said: "We are very pleased with the conclusions reached by the scientific inquiry as set out in the final report and encouraged by the final position of the panel... which requires some elements to be implemented immediately while others can proceed in parallel with the relatively small activity footprints associated with exploration. We look forward to the government's decision on the moratorium, which we hope will be announced soon."