Australia to finalise new offshore exploration permits for gas supply
The Australian government on July 23 announced its plans to finalise new offshore exploration permits to enhance gas supply, support the economy, and firm renewables during the country's transition to net zero emissions.
Minister for Resources and Northern Australia, Madeleine King, will finalise permits for Esso and Beach Energy in the Otway and Sorrell basins along the southern coast, with any discovered gas set to support the domestic east coast market. Additionally, exploration permits will be finalised for Chevron, Inpex, Melbana, and Woodside Energy on Australia's west coast, bolstering energy security in Western Australia. Ten permits will also be finalised for carbon capture and storage exploration.
|
Advertisement: The National Gas Company of Trinidad and Tobago Limited (NGC) NGC’s HSSE strategy is reflective and supportive of the organisational vision to become a leader in the global energy business. |
The most recent Australian Competition and Consumer Commission (ACCC) Gas Inquiry Interim Report indicates that the domestic east coast market may experience gas supply shortfalls as early as 2027, with supply challenges potentially persisting into the mid-2030s unless new gas sources are developed.
“As ageing coal generation comes offline in coming years, gas will continue to be needed to firm renewable energy generation and as a backup during peak energy use periods,” King said. “Gas is critical for the transition. But it will be a diminishing proportion of our energy mix to 2050 as other storage technologies come online,” she added.
King emphasised that finalising offshore exploration permits does not automatically permit new offshore gas production. Safety and environmental approvals are required through Australia’s independent National Offshore Petroleum Safety and Environmental Management Authority. Furthermore, more community consultation will be necessary before any offshore exploration work can commence.
No new seismic surveying will be permitted as part of the approved work programme for each permit. Instead, companies will be required to license or reprocess existing seismic data.