Tamboran Resources Corporation has received approval from the Northern Territory government (NTG) to sell appraisal gas from its exploration permits in the Beetaloo Basin, marking the first approval issued under the Territory’s new Beneficial Use of Gas (BUG) legislation.
The milestone comes after Native Title Holders granted consent for the sale of up to 60 terajoules (TJ) of gas per day from the Shenandoah South (SS) Pilot Project over a three-year period.
With this approval, the Beetaloo Joint Venture (BJV) now holds all necessary authorisations to begin commercial gas sales.
The project plans to commence deliveries of up to 40 TJ per day to the NTG under a binding Gas Sales Agreement (GSA) beginning in mid-2026, subject to weather conditions.
Operational progress continues onsite, with intermediate drilling completed on three production wells needed to achieve plateau supply.
Tamboran is currently drilling the horizontal section of the SS-5H well within the Mid Velkerri B Shale.
Meanwhile, stimulation of the SS-4H well is scheduled for the fourth quarter of 2025, followed by a 30-day flow test before connection to the Sturt Plateau Compression Facility (SPCF) for gas sales.
Tamboran Resources Corporation Chairman and Interim CEO, Richard Stoneburner, welcomed the NTG’s decision, describing it as a historic step for the company and the Territory.
“The BJV has secured an important milestone, being the first joint venture to secure NTG approval to sell gas under the BUG legislation,” said Stoneburner.
“This approval will allow the BJV to sell gas to the NTG under a long-term GSA, delivering energy security to Territorians.
Stoneburner said the BUG legislation represented a major step forward by the Northern Territory government, enabling gas to be sold during the exploration and appraisal stages of development rather than being wasted through flaring.
He noted that this change would see gas redirected into the Territory’s energy system, which relies heavily on gas for power generation, strengthening local energy security.
Stoneburner added that the framework also ensures earlier royalty returns to both the government and Native Title Holders.
He expressed appreciation to both groups for their support, saying Tamboran looked forward to working closely with them as the company continues to advance the potential of the Beetaloo Basin.
The BUG legislation, introduced by the NT government, is designed to reduce waste from flaring by allowing gas to be sold during exploration and appraisal phases, providing early benefits to the local market and Traditional Owners while advancing energy security efforts across the Territory.
