Oil and gas companies have paid a total of $11.1 million to secure the right to explore three areas offshore Western Australia and Victoria for the next six years.

Each year the Federal Government invites companies to bid for the opportunity to invest in oil and gas exploration in Australian waters.

Cash bid permits authorise the holder to apply to undertake exploration activities in the permit area.

Australia’s independent offshore petroleum regulator, the National Offshore Petroleum Safety and Environmental Management Authority (NOPSEMA) assesses these applications.

The latest cash bid auction was held on 7 February as part of the 2018 Offshore Petroleum Exploration Acreage Release.

Chevron Australia New Ventures Pty Ltd, Lattice Energy Limited, and Woodside Energy Julimar Pty Ltd and KUFPEC Australia (Julimar) Pty Ltd (jointly) were awarded the new permits. The successful permits include:

Exploration permit VIC/P73

• Lattice Energy Limited was awarded the V18-3 release area, which is located in the Otway Basin, 50 kilometres south of Warrnambool, Victoria.
• The successful cash bid was for $4 million.

Exploration permit WA-536-P

• Woodside Energy and KUFPEC were jointly awarded the W18-7 release area, which is located in the Northern Carnarvon Basin, 150 kilometres west of Dampier, Western Australia.
• Two bids were made in the auction. Woodside Energy and KUFPEC’s successful joint cash bid was for $5.1 million.

Exploration permit WA-537-P

• Lastly, Chevron Australia was awarded the W18-10 release area in the Northern Carnarvon Basin, which is positioned 240 kilometres west of Onslow, Western Australia.
• Chevron’s successful cash bid was for $2 million.

Minister for Resources and Northern Australia Matt Canavan said the awarding of these permits proves Australia remains an attractive petroleum exploration investment destination.

“Continued oil and gas exploration and development is the key to protecting our energy security and to protect manufacturing jobs around the nation,” the Minister said.

The final round of the 2018 Offshore Petroleum Exploration Acreage Release is expected to close on 21 March 2019.

More information on the 2018 Offshore Petroleum Exploration Acreage Release can be found here.