An Australian tribunal has approved Santos’ controversial Narrabri Gas Project, ruling that the public benefit of increased energy security outweighs potential harm to the climate and Indigenous cultural heritage.
The project, valued at US$2.3 billion (AUS$3.6 billion), is located in northwest New South Wales and overlaps with lands of the Gomeroi people. Santos, one of Australia’s largest energy companies, plans to drill more than 800 coal-seam gas wells in the area.
First proposed over a decade ago, the project has faced legal challenges from Indigenous groups asserting native title rights. However, on Monday, the National Native Title Tribunal found in favor of Santos, stating that the project would provide “important benefits” to both the public and the Gomeroi people.
“Weighing the public interest evidence, including the evidence addressing environmental matters, the panel has found the project offers a net public benefit,” the tribunal said, as reported by Reuters.
Santos has said that the gas from Narrabri will be entirely supplied to the domestic market, potentially meeting up to 50% of New South Wales’ gas needs. “Gas produced close to market will always have a cost advantage,” the company noted, adding that local production could help lower energy prices for NSW consumers.
The decision comes amid growing concerns over Australia’s energy supply. The Australian Competition and Consumer Commission warned last year that the east coast could face natural gas shortages as early as 2027 unless new supplies are developed.
As global energy markets remain volatile, Australian energy producers are under pressure to boost domestic output while balancing environmental and cultural responsibilities.
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