Santos will appeal a shock court decision to scrap a key approval for the Barossa gas project, and called for urgent action to avoid investment risk flowing to projects across the country.
Santos will appeal a shock court decision to scrap a key approval for the Barossa gas project, and called for urgent action to avoid investment risk.
A final investment decision on the $US3.6 billion Barossa project was made in March 2021, with gas to be piped from the Timor Sea to the Darwin LNG plant for processing.
Today, Federal Court Justice Mordecai Bromberg set aside the National Offshore Petroleum Safety and Environmental Management Authority’s acceptance of an environmental plan for drilling and completion at Barossa.
That was on the basis of consultation with Traditional Owner groups.
Santos said it had consulted with representative body the Tiwi Land Council, and the Northern Land Council native title body.
But Tiwi Traditional Owner Dennis Tipakalippa launched the lawsuit in June arguing Santos had failed to properly consult the Munupi Clan, according to the Environmental Defender’s Office.
The law had required every relevant person to be consulted, in Justice Bromberg’s interpretation.
Santos paused drilling at the site at the conclusion of the court hearings, and will be unable to continue until an appeal is finalised or a new approval is secured.
In the interim, the Barossa project is sitting at 46 per cent complete.
“This is a disappointing outcome,” Santos told the ASX today.
Santos said the drilling had been taking place 140 kilometres north of the Tiwi Islands.
“NOPSEMA had accepted our efforts to consult with Tiwi Islanders in accordance with the regulations when it decided to accept the environment plan for those activities,” Santos said.
“Given the significance of this decision to us, our international joint venture partners and customers, and the industry more broadly, we consider that it should be reviewed by the Full Federal Court on appeal.”
The company said the approvals uncertainty would need to be addressed urgently to reduce risk for trade and investment.
In a statement, Mr Tipakalippa welcomed the decision.
“I am the happiest man alive,” he said.
“We are so happy and so relieved.
“We have won.
“The most important thing for us is to protect our Sea Country.
“We want Santos and all mining companies to remember – we are powerful, we will fight for our land and Sea Country, for our future generations no matter how hard and how long.
“We will fight from the beginning to the end.
“Santos tried to get away with not consulting us, but today we have had our voices heard.
“We cannot be sidelined or silenced.”