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Native Title Tribunal green-lights Narrabri gas extraction leases

More than a decade after it was first proposed, the $3.6 billion Narrabri Gas Project has gained Native Title Tribunal approval – again.

‘Continually gets held up’: Santos CEO slams federal government on gas project approvals

The Narrabri Gas Project has cleared another hurdle, with the Native Title Tribunal ruling that leases for gas extraction can go ahead, more than a decade after the $3.6 billion project was first proposed.

The Native Title Tribunal on Monday ruled that benefits of the project in secreting energy reliability outweighs the environmental impacts.

The Tribunal approved gas extraction leases subject to three conditions, including that any gas extracted is reserved for the domestic market.

Aboriginal cultural heritage protections will need to be increased, and Santos will need to develop a “ranger program” for The Pilliga Forest, “to manage Country, protect the environment, and monitor and manage ecological threats,” the tribunal’s ruling said.

The ruling allows the state government to grant petroleum production leases to the energy gas giant.

A Santos Ltd. pilot well operates on a farm property in Narrabri. Photographer: Brendon Thorne/Bloomberg
A Santos Ltd. pilot well operates on a farm property in Narrabri. Photographer: Brendon Thorne/Bloomberg

The Tribunal “placed significant weight” on how the Narrabri Gas Project could improve energy security for the east coast gas market.

“The evidence in this matter has shown that if the leases are not granted, there will

likely be a gap in the available supply of reliable, secure energy on Australia’s east

coast,” the judgment said.

Santos has said it will make its final investment decision on the Narrabri Gas Project by this year. Picture: Nathan Edwards.
Santos has said it will make its final investment decision on the Narrabri Gas Project by this year. Picture: Nathan Edwards.

The Tribunal said the energy gap would have a “detrimental” impact on the community in the short-to-medium term.

Santos has already committed to keeping all of Narrabri’s gas in the domestic market.

The Tribunal conceded the project’s impact on climate change would be a “serious detriment,” but this was outweighed by the project’s benefits.

Santos CEO Kevin Gallagher. Picture: Brenton Edwards
Santos CEO Kevin Gallagher. Picture: Brenton Edwards

When eventually up and running, Narrabri could provide half of NSW’s natural gas demand.

The Narrabri Gas Project originally received Native Title Tribunal approval in 2022, but that approval was appealed by the Gomeroi people.

The NSW government still needs to grant certain planning approvals for Narrabri to go ahead, though Premier Chris Minns has previously thrown his support behind the gas project. The government had been prevented in granting these licences ahead of the Native Title Tribunal decision.

Santos on Tuesday welcomed the Tribunal’s ruling allowing the gas extraction leases.

The company has said it will make its “final investment decision” on the project by this year.

A spokesman for NSW Natural Resources Minister Courtney Houssos said the approval “provides certainty for stakeholders and marks the next step in the process for the Narrabri Gas project.

“The NSW Government will now assess the applications for petroleum production leases for the Narrabri Gas Project, considering the determination and subject to any appeal.

Originally published as Native Title Tribunal green-lights Narrabri gas extraction leases

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Original URL: https://www.heraldsun.com.au/news/nsw/native-title-tribunal-greenlights-narrabri-gas-extraction-leases/news-story/72b8ba54028a9ca87349aad06fbfa672