- North to East Australia pipeline to deliver Beetaloo gas to Queensland
- Stage 2 of pipeline declared a coordinated project by Queensland government
- Potential $3B project will unlock a major new energy security source and supporting around 800 construction jobs
- Governments welcome huge upside of a world-class project
Within days of first gas flowing from the Beetaloo Sub-basin the next stage of the region’s development is already taking shape, with a major new pipeline proposal aimed at connecting NT gas with the east coast.
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Queensland has announced it will streamline assessments and approvals for the major gas pipeline connecting Beetaloo gas from the NT.
The state’s assistant coordinator-general has declared the potential $3 billion Stage 2 North to East Australia pipeline a “Coordinated Project”, paving the way for a whole-of-government planning and environmental assessment of its potential benefits and impacts.
Proposed by APA Group subsidiary APT Petroleum Pipelines, the project involves the construction and operation of an 899-kilometre pipeline from the Queensland border to the South West Queensland Pipeline, approximately 90 kilometres east of Ballera.
The pipeline would form part of the broader 1,561-kilometre North to East Australia Pipeline, designed to transport natural gas from the Beetaloo Sub-basin to Queensland’s gas network.
Once operational, the project could transport up to 600 terajoules of gas per day, with peak capacity reaching 1,000 terajoules per day depending on production levels, demand and future market requirements.
Queensland’s deputy premier and minister for State Development, Infrastructure and Planning, Jarrod Bleijie, said the project is expected to deliver a significant economic boost to regional Queensland, creating up to 800 construction jobs and a number of ongoing operational roles.
This is in addition to broader flow on activity through construction, logistics, procurement, local business participation, as well as employment and training opportunities.
“This project will help power two big priorities for Queensland – deliver jobs and investment as well as affordable, reliable and sustainable power for Queenslanders,” Mr Bleijie said.
“The coordinated project process ensures this multi-billion-dollar project will be subject to a rigorous assessment of its environmental, social and economic impacts, while allowing a whole-of-government approach to approvals.”
The state’s minister for Natural Resources and Mines, Dale Last, said the declaration marked an important step towards delivering greater energy reliability and economic benefits for regional communities.
“This next stage of the North to East Australia Pipeline project has the potential to support regional jobs, strengthen domestic gas supply, improve energy reliability and enhance interstate connectivity,” Minister Last said.
“Gas is critical to our state’s energy mix and making sure we get it to where it is needed will help to power the industries that power regional economies.
“Our position has always been that more gas supply will ultimately deliver lower prices and we’re focused on backing projects that deliver on this objective.
APA Group CEO and MD, Adam Watson, said the declaration is an important milestone for the project.
“This declaration is a significant step forward for the North to East Australia Pipeline and recognises the project’s potential to strengthen energy security and deliver economic opportunities for regional Queensland,” Mr Watson said.
The Sturt Plateau Compression Facility Trust (SPCF Trust), a 50/50 Joint Venture between Tamboran (ASX: TBN) and Daly Waters Infrastructure, LP (DWI), has commenced gas commissioning of the SPCF with gas from wells on the Shenandoah South 2 pad.
Tamboran CEO, Todd Abbott, told a major gathering to celebrate gas flow from the company’s Shenandoah project and the commissioning of the Sturt Plateau Compression Facility (SPCF) that gas will be sold to the NT government during commissioning.
“The Beetaloo Basin is well positioned to deliver future energy security for Australia and our trading partners across the Asia Pacific, whilst also delivering lasting job and economic opportunities for Territorians and NT government,” Mr Abbott said.
“Gas from the Beetaloo will be available to address forecast supply shortfalls – powering homes, businesses and manufacturing industries across the East Coast.”
National Project, National Benefits
Beetaloo is estimated to have the potential to create 13,000 jobs, providing work opportunities for people in the regions and unlocking $17 billion in economic growth over 20 years.
“The Beetaloo isn’t just a Territory project – it’s a strategic national energy asset critical to delivering on the Commonwealth’s Future Made in Australia Policy, by keeping the lights on and energy-intensive manufacturing industries moving. Beetaloo gas is lower in production cost than other Australian gas sources, and can power East Coast manufacturing, smelters and refineries for decades to come, keeping Australians employed.
“APA has been an early supporter and advocate for the potential of the Beetaloo Basin and is proud to have played a role through delivery of the SPP – the crucial first-stage link that today enables Beetaloo gas to flow to deliver energy security for the Northern Territory.”
Federal Resources Minister, Madeleine King, said first gas from Beetaloo to Darwin was a historic moment that would help secure energy supplies into the future for the Northern Territory and for the Eastern States.
“This is an exciting moment for the Northern Territory and for Australia.
“The development of the Beetaloo Basin will contribute to local, national and regional energy security.
“Australia needs more gas, at a fair price, for Australian businesses and households.”
The NT’s chief minister said Beetaloo gas was a strategic asset in reinforcing the nation’s energy security.
“At a time when we have seen the consequences of not investing in energy independence, the Territory is stepping up to become a reliable energy producer while ensuring Territorians benefit from the development of our world-class resources,” the Chief Minister said.
As the Beetaloo moves from resource development into a broader infrastructure and energy story, the opportunity is also beginning to extend beyond the companies producing the gas.
The next question is where else the economic benefits of the Beetaloo’s development could flow.
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