After many years of preparatory work, lengthy political and regulatory delays and substantial investment, the Beetaloo Basin will see the first production and sale of gas by next year.

The Beetaloo and McArthur basins may provide a significant boost to future energy needs on Australia’s East Coast, a potential gas-dependent manufacturing industry based in Darwin, and ultimately expanding Darwin’s Liquefied Natural Gas export terminals.

Beetaloo Energy Australia, formerly known as Empire Energy Group, holds the largest exploration acreage position in this highly prospective, potentially global-scale region where exploration and appraisal have advanced considerably over the past two years.

The areas Beetaloo Energy is appraising contain less than 1 percent CO2 – giving production significant emissions advantages over other gas basins.

Importantly, the development of these resources is supported by Traditional Owners, local businesses and the Northern Territory Government.

Managing director Alex Underwood says Beetaloo Energy is committed to ensuring all stakeholders benefit from its activities, which take place between Daly Waters and Borroloola.

“We are grateful to Traditional Owners for their decision to continue driving the project forward,” he says.

“The landmark agreement was the first of its type on Aboriginal-owned land in Australia. – and we really see it as a benchmark of how things can be done between industry and Traditional Owners.

“Beetaloo Energy is deeply committed to working with landowners and local communities to share the economic and social benefits that are already accruing and will continue to accrue from the exploration and appraisal of the project.”

The company is targeting first gas production by mid-2026 with its Carpentaria pilot project progressing towards a final investment decision.

“We recently carried out the stimulation of our Carpentaria 5 well – and that was the largest fracture stimulation done in the history of the Australian onshore gas industry. It was done safely and in an environmentally responsible manner under one of the most robust regulatory regimes in the world.

“What I can genuinely say is that there is not a single person who works on our sites who doesn’t care deeply about doing the right thing. The right thing for the environment, the right thing for the local community, landholders and for local businesses. 

“Beetaloo Energy has demonstrated our commitment to sustainable operations, transparency and accountability in the 12 years we have been active in the Beetaloo Basin. We continue to take those commitments very seriously.” 

The Beetaloo Basin alone is thought to contain recoverable shale dry gas volumes of more than 100 trillion cubic feet. Australia uses about 1 tcf of gas a year. Although yet to be proven, the scale of this estimated resource compares favourably with the scale of resources at Australia’s North West Shelf where exports have kept Australia ranking as one of the top two seaborne exporters of LNG for some years. 

With a gas sales agreement already in place with the NT Government, initial gas supply from the company’s pilot project will help meet the Territory’s near-term needs, but Mr Underwood says Beetaloo Energy intends to expand production to meet the gas needs of east coast gas users – and in future potentially grow gas exports from Darwin’s existing LNG plants. 

The Australian Energy Market Operator has highlighted the urgent need for new gas supply projects to address potential shortfalls in Australia’s east coast gas market expected from 2028 onwards. 

“Australia needs gas and we’re committed to delivering it,” Mr Underwood says. 

However, he says pipeline infrastructure is not sufficient to deliver significant gas supply from the Territory to the east coast. 

“At the moment connectivity to Australia’s east coast from the Northern Territory is relatively limited but the case is mounting to expand this truly nation-building infrastructure. 

“The Beetaloo contains enough gas to supply the local Territory market, the broader Australian market and potentially even further exports – providing an incredible economic opportunity for the Northern Territory. 

“At Beetaloo Energy, we believe it is absolutely critical for the energy security of the country that we have persevered with this work – and we are clearly focussed on moving this project to full production in the years ahead.” TQ