PERTH (miningweekly.com) – The federal government has approved two new offshore greenhouse gas (GHG) storage areas, and released a further 46 758 km² of new petroleum exploration acreage offshore.

Minister for Resources and Northern Australia Madeleine King said the GHG storage permits have been awarded to two areas offshore of the Northern Territory and Western Australia, and would help Australia to achieve its target to lower emissions by 43% by 2030.

The permits are for a joint venture between INPEX, Woodside Energy and TotalEnergies for area G-7-AP over GHG21-1 in the Bonaparte basin, and for Woodside Energy for area G-8-AP over GHG21-3 in the Browse basin.

King will shortly finalise the award of all five new offshore GHG storage permits under the 2021 offshore Greenhouse Gas Storage Acreage Release.

“Carbon capture and storage (CCS) has a vital role to play to help Australia meet its net-zero targets.  Australia is ideally placed to become a world leader in this emerging industry, with large, stable offshore geological formations for GHG storage,” King said.

“The award of G-7-AP is one of two acreage permits awarded in the past eight years and will help make a Darwin CCS hub a reality. This directly supports development, job creation and economic security across Northern Australia.”

“Australia has the capacity to continue to be an energy export leader, at the same time as developing a domestic offshore CCS industry. CCS is a safe, key proven technology that can support the petroleum sector in its low carbon transition,” King said. 

“As we continue to take action to reduce emissions, I will work to ensure Australia remains an attractive destination for investment while maintaining our position as a world leader in the resources sector.” 

Meanwhile, King also announced the 2022 Offshore Petroleum Exploration Acreage Release in Commonwealth offshore waters comprises 10 areas across the Bonaparte, Browse, Carnarvon, and Gippsland basins off the coasts of the Northern Territory, Western Australia, Victoria, and the Ashmore and Cartier Islands.

She said the 2022 petroleum acreage release would play an important role in securing future energy supplies.

“The annual release of areas for offshore petroleum exploration supports ongoing investment in the nation's petroleum sector, which is vital for the economy and meeting the energy needs of Australians.

“At the same time as we strive to reduce emissions it must be emphasised that continued exploration for oil and gas in Commonwealth waters is central to alleviating future domestic gas shortfalls.”

Gas will play a key role as a transition fuel as Australia works to reach net-zero emissions by 2050.

“Australia’s energy sector also continues to support international energy security, particularly during the global turbulence caused largely by Russia’s invasion of Ukraine,” King said.

The 2022 Offshore Petroleum Exploration Acreage Release focuses on known oil and gas provinces with accessible infrastructure. This will ensure major projects maintain steady supplies into the future and will lower costs of development in a capital-constrained world.

All areas in the release are based on industry nominations and were subject to a public consultation process. All areas are available for work-programme bidding. Bidding will close on March 2, 2023.