Environmental approval has been given for Santos’ Narrabri Gas Project in the Gunnedah Basin subject to a number of conditions including protecting regional biodiversity, groundwater and local communities.
On Tuesday, Minister for the Environment, Sussan Ley, approved the project under the Environment Protection and Biodiversity Conservation Act 1999, following her review of a robust New South Wales assessment which imposes strict conditions on clearing limits, impact mitigation and rehabilitation.
“I am satisfied that the conditions, and the staged nature of work in the area, will safeguard the biodiversity of the Pilliga Forest,” Minister Ley said.
“My approval has also been informed by advice from the Commonwealth Independent Expert Scientific Committee on Coal Seam Gas and Large Coal Mining Development (IESC) to ensure the ongoing protection of precious water resources.”
Approval conditions to protect water resources include:
- An early-warning system that includes ongoing bore-monitoring and modelling to identify any potential impacts on groundwater aquifers before they occur;
- Binding protocols identifying corrective actions, and cease-work provisions at gas wells where a groundwater exceedance is predicted;
- A robust chemical risk assessment framework to protect the environment and water resources during coal seam gas operations (no fracking is required or proposed for gas extraction); and
- Santos will also establish a Community Benefit Fund of up to $120 million to share the ongoing benefit of the project with the Narrabri community.
Santos welcomed the Federal Environment Minister’s approval, who will now embark on a 12-18 month appraisal program ahead of a final investment decision (FID) for the next phase of project development.
Santos Managing Director and Chief Executive Officer, Kevin Gallagher, said the conditions on the approval were consistent with those already set by the New South Wales Independent Planning Commission and generally in line with those for its GLNG operations where the company is operating safely and efficiently, and protecting water resources and the environment.
“We accept the conditions from the Commonwealth, which are very much in line with our other operations across the country and welcome the approval that all relevant matters of national environmental significance have been adequately addressed,” Mr Gallagher said.
“Santos is excited about the prospect of developing the Narrabri Gas Project, a 100 per cent domestic gas project that will deliver the lowest-cost source of gas for NSW customers.”
“The approval process has been comprehensive, transparent and inclusive, providing the community with confidence the project has been properly evaluated using the best available science, is in the public interest and is capable of development without harm to water resources or the environment,” he said.
“As the economy recovers from COVID-19, game-changing projects like Narrabri are critical to creating jobs, driving investment, turbo-charging regional development and delivering more competitive energy prices.”
According to Santos, the $3.6-billion Narrabri Gas Project is expected to create up to 1,300 construction and 200 operational jobs, while shoring up supply for the east coast domestic gas market [1].
The company has commenced workover activities on existing wells under its current exploration tenures and is working to get various agreements in place that are required prior to the next phase of development.
Details of the Federal Environment Minister’s approval are available on the department website at: http://epbcnotices.environment.gov.au/_entity/annotation/b4110561-152e-eb11-82c9-00505684324c/a71d58ad-4cba-48b6-8dab-f3091fc31cd5?t=1606195949773
