Santos restricts drilling its $5b Barossa project until court approval

Santos has agreed not to drill into its Barossa gas reservoir for three weeks until the court that has heard a case against its US$3.6 billion ($5.2 billion) project brought by Traditional Owners reconvenes.

Dennis Tipakalippa, a senior lawman of the Tiwi Islands north of Darwin is suing the offshore oil and gas regulator NOPSEMA alleging his Munupi Clan was not properly consulted before the regulator approved Santos’ plan to drill up to eight gas wells about 120km north of the islands.

The Environmental Defenders office, representing Tipakalippa, has argued in a weeklong Federal Court trial that concluded on Friday that inadequate consultation by Santos renders NOPSEMA’s March 2022 approval of the drilling invalid.

After the hearings that included taking evidence on-country Santos has agreed not to drill any new wells in the Barossa gas field and to stop drilling its current well before it breaches the gas reservoir.

Mr Tipakalippa said he was relieved to get Santos’ promise.

“Drilling into the seabed is like drilling into our bodies,” Tipakalippa said.

“This week, we have had our voices heard. We will fight to protect our Sea Country, from the beginning to the end.”

The Valaris MS1 drilling rig arrived at Barossa in July and drilling was expected to continue until October 2023. The rig has been reported as costing about $US220,000 ($316,000) a day by industry news site Offshore Energy.

At the next hearing in the case, on September 16, a decision will be delivered or arguments relating to an injunction to restrain further drilling will be heard.