Jemena has today welcomed the Northern Territory Government’s decision to lift the moratorium on hydraulic fracturing, following an extensive, independent, and robust 18-month inquiry which found the risks associated with unconventional gas development can be mitigated to acceptable levels or removed entirely.
By allowing well-regulated exploration and unconventional gas development activities to proceed, the Territory is well-placed to maximise the opportunities associated with an onshore gas industry.
Following today’s decision, Jemena intends to progress its plans to extend and expand the $800 million Northern Gas Pipeline (NGP). This work is expected to create around 4,000 jobs across northern Australia, with early estimates placing the cost of the project at around $3 - $4 billion.
Jemena’s Managing Director, Paul Adams, commended the Territory Government’s decision, noting it had commissioned a thorough review into unconventional gas development that included broad and frequent consultation with the community.
"The Territory has great potential as the future heartland of Australia’s gas industry. Today’s decision paves the way towards a well-regulated industry that benefits the people of the Territory while helping to bring much needed additional gas to where it is needed most," said Mr Adams.
"This is good news for locals who can expect to benefit from additional jobs and training opportunities in the gas industry, as well as Territory businesses who will benefit directly from contracts on upcoming projects. A thriving gas industry will also benefit the whole community as the indirect benefits flow to the broader Territory economy.
"This decision now gives us the certainty we need to move forward, and we encourage the Territory Government to maintain pace and move to swiftly implement the inquiry’s recommendations.
"Provided sufficient and appropriate gas is proven and will be available for transportation, our ambition is to commence preliminary works on the extension and expansion of the Northern Gas Pipeline in 2019."
Mr Adams said the NGP will be completed in late 2018. It will initially transport around 90 terajoules of gas, with the extension and expansion of the Northern Gas Pipeline having the potential to bring around 700 terajoules of gas – enough gas to meet the average daily domestic gas needs of Brisbane, Sydney, and Adelaide – to market.
To learn more about the Northern Gas Pipeline project, visit www.jemena.com.au. ---
