Federal Court scraps drilling permit for Santos’ Barossa Gas Project

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Image credit: Wikimedia Commons

Santos notes the Federal Court’s judgement to annul the National Offshore Petroleum Safety and Environmental Management Authority’s (NOPSEMA) adoption of an environmental plan for the drilling and completion activities associated with the Barossa Gas Project.

In a statement, Santos stated drilling operations would be on hold due to the decision until a favourable resolution of the appeal or the endorsement of a new Environment Plan. Santos stated it would try to hasten these processes.

“We are so happy and relieved. We have won. The most important thing for us is to protect our Sea Country. We want Santos and all mining companies to remember — we are powerful, we will fight for our land and Sea Country, for our future generations no matter how hard and how long. We will fight from the beginning to the end. Santos tried to get away with not consulting us, but today we have had our voice heard. We cannot be sidelined or silenced,” Plaintiff and Tiwi Edler Dennis Tipakalippa said

The decision was founded on the Court’s determination that NOPSEMA could not be lawfully content that the Drilling Environment Plan met the requirements of the Regulations and specifically failed to evaluate whether the Drilling Environment Plan proved that Santos consulted with the people required by the Regulations. 

Adertisement

As was customary, Santos said it consulted with the Tiwi Land Council, a statutory institution established by the Aboriginal Land Rights (Northern Territory) Act 1976, regarding the anticipated drilling activities. According to Santos, it had discussed the intended drilling activities with the Northern Land Council, the Tiwi Islands’ Native Title representative organisation. The company added that when NOPSEMA decided to adopt the environment plan for those operations, it had recognised Santos’ attempts to consult with Tiwi Islanders in compliance with the regulations. 

Santos believes that the Full Federal Court on appeal should examine the decision given its importance to the company, its worldwide joint venture partners and customers, and the industry at large.

According to Santos, it is dedicated to constantly improving its consultation procedures. Santos said it places a lot of importance on its relationships with the Traditional Owners, nearby communities, and landowners in the areas where the company operate. 

The company added that the Barossa Gas Project is significant for Australia as it would boost employment, exports, and Santos’ ties with investors and Asian gas customers who have relied on Australia for their energy security for many years. 

About 46 per cent of the Barossa Gas Project has been finished. Santos said it has flexibility in the project cost contingency and the drilling activities are not on the project’s essential path.

To lower the risk for trade and investment in projects across the nation, Santos added. Australian governments should promptly address the public policy issue of project approval uncertainty.

“Today’s decision puts oil and gas companies on notice. It sets a new standard about the depth of consultation that companies are required to conduct with Traditional Owners before they gain approval for drilling in Sea Country. It confirms that the voices of First Nations communities must be heard when their Countries and cultures are under threat,” Environmental Defenders Office Special Counsel Alina Leiken said.