By Peter Milne
Conservationists have disputed claims by ASX-listed energy giant Santos that the leakage of about 25,000 litres of oil from a facility on an island off WA’s Pilbara coast was a “minor spill” with “negligible” environmental impact.
On March 20, a spill was noticed during the loading of a Santos tanker on Varanus Island and operation was stopped. Varanus Island, 75km off the northwest coast, has been an oil and gas hub for about 40 years processing production from surrounding platforms to send gas to the mainland and load a light oil called condensate onto tankers.
Varanus Island is home to a 40-year-old oil and gas hub bought by Santos in 2018Credit:
A Santos spokeswoman said the spill resulted in a light sheen on the sea surface covering a small area.
“The condensate evaporated naturally within 24 hours and the impact to the environment is negligible,” she said.
Santos later found a leak in a flexible hose that connects tankers to the end of an oil pipeline from the island, she said.
According to sources who do not wish to be identified, the loading hose was lifted incorrectly several years ago causing a weakening kink that was known to Santos.
The spill occurred eight months after a 200 tonne Santos platform just off Varanus Island swung wildly out of control while it was being lifted for removal, nearly killing three workers.
Initial inquiries to Santos and regulators did not reveal the amount of oil released into the ocean. But following a further inquiry by this masthead, the Department of Transport said it was estimated to be about 25,000 litres. Santos did not dispute the figure.
Conservation Council of WA executive director Maggie Wood said the spill took place in an area highly important for marine biodiversity with vulnerable turtle populations.
“In no way can a 25,000 litre oil spill be described as ‘negligible’,” Ms Wood said.
“This is the same Santos which less than 10 years ago was allowed to go unpunished for a 250,000-litre oil spill in Queensland, only narrowly avoiding a widespread contamination of nearby water systems.”
There is little public information about the frequency and size of oil spills in Australian waters. But at 25,000 litres, the Varanus Island incident would be more than twice the size of a 10,500-litre leak from a Woodside well in 2016 that was the largest reported that year.
A Santos 2019 environmental approval submission listed 19 species of threatened sharks, whales, turtles and birds potentially occurring on Varanus Island or in surrounding waters.
Santos is currently drilling exploration wells further up the WA coast from Varanus Island to investigate whether it could expand its Dorado oil project planned for approval in 2022.
Ms Wood said regulators should reconsider conditions afforded to Santos in light of the spill.
The Santos spokeswoman said it was reviewing the incident to identify and implement a recurrence.
Department of Mines, Industry Regulation and Safety executive director Karen Caple said the regulator would ensure Santos’ spill response complied with approved plans and the company met its reporting requirements.