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Santos targets environmental activists for costs after Barossa court victory

Santos is targeting four environmental activist groups for legal costs, a novel tactic that underscores the energy producer’s aggressive approach for redress.

Protesters gather at the front of the Federal Court in November 2022 for the appeal by Santos to restart drilling on its Barossa gas project. Picture: Getty Images
Protesters gather at the front of the Federal Court in November 2022 for the appeal by Santos to restart drilling on its Barossa gas project. Picture: Getty Images

Santos has sought a subpoena to access communications between the Environmental Defenders Office and four climate activist groups in a bid to determine the identities of the financial backers behind a debunked legal claim that caused delays to its $5.4bn Barossa gas project.

Santos in January won a landmark case that threatened significant delays to its Barossa LNG project, which it has earmarked for growth. Santos had indicated it would seek costs but not from the Tiwi Islander who launched the legal action.

The novel move from Santos marks an escalation of its quest for compensation, which could significantly damage to all five environmental activist groups.

Santos chief executive Kevin Gallagher has signalled the company will seek damages from the EDO and others behind the claim, which was forcefully rejected by Justice Natalie Charlesworth in a ruling earlier this year.

In a court hearing on Friday, Santos lodged a subpoena to access communications between the EDO and Market Forces, Sunrise Movement, Jubilee Australia and the Environmental Centre Northern Territory.

Lawyers acting on behalf of Santos argued the four environmental action groups had publicly declared via social media statements that they were involved in the action.

The application was opposed by the four activist groups, and a ruling on the request could be several months away.

EDO chief executive David Morris said the agency was weighing the cost claim against it.

“EDO is an accredited Community Legal Centre and has a proud record of community service and the provision of public interest law services over the past 40 years,” Mr Morris said.

“We allow some of the most disadvantaged and at-risk communities in Australia to use the law to advance the public interest of protecting our precious environment and cultural heritage.”

Santos chief executive Kevin Gallagher.
Santos chief executive Kevin Gallagher.

Market Forces chief executive Will van de Pol said he was unable to comment while the action was before the courts.

Sources close to the EDO insist it was acting solely as legal counsel for Simon Munkara, who had argued Santos’s 262km pipeline would cause irreparable damage to First Nations people and their connection to sea country.

In a scathing ruling, Justice Charlesworth said experts called in support of Mr Munkara had effectively concocted evidence and the EDO had effectively coached witnesses.

The ruling allowed Santos to move ahead with works on the Barossa LNG project, while some called the EDO to be stripped of its funding.

The judgment came just weeks before the government signalled it would curtail the rights of applicants to launch legal action against already approved LNG projects.

Santos and Woodside had ­suffered a spate of legal losses to Indigenous and environmental applicants who had argued that the gas giants failed to adequately consult with them.

The court decision has been warmly welcomed by regional allies which rely on Australian LNG.

But Australian developers are under mounting pressure as activists seek to block projects.

The Barossa project, in which South Korea’s SK E&S and Japan’s JERA have stakes, has been earmarked to guarantee regional gas supplies.

The Japanese have grown increasingly concerned about Canberra’s attitude towards gas.

The head of Japan’s biggest oil and gas producer last year warned Australia risked undermining global security through a decision to “quietly quit” the international gas trade.

Australia’s LNG industry has been in the crosshairs of environmentalists, who have found success with claims project organisers failed to consult Indigenous people sufficiently.

Resources Minister Madeleine King in January began to tighten the rules around who is deemed a relevant person to be consulted and considered when new projects seek regulatory ­approvals.

The federal Labor government has quietly briefed the market that it intends to tighten the rules, which would be a significant boost to the country’s fossil fuel industry.

Mr Gallagher earlier this year said Australia was in the midst of an “anti fossil fuels war” as he urged policymakers to support gas as a transitional fuel.

Read related topics:Climate ChangeSantos
Colin Packham
Colin PackhamBusiness reporter

Colin Packham is the energy reporter at The Australian. He was previously at The Australian Financial Review and Reuters in Sydney and Canberra.

Original URL: https://www.theaustralian.com.au/business/mining-energy/santos-targets-environmental-activists-for-costs-after-barossa-court-victory/news-story/082a7edd06eccaa764082b9db21a875a