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23 Apr 2024 Energy

Northern Territory Government backs Beetaloo

The Northern Territory Government is securing power for years to come by purchasing gas from the Beetaloo Basin for electricity generation, and backing the growth of the Territory’s on-shore gas industry.

The gas arrangements, between the Territory Government and Tamboran Resources, will provide competitively priced gas for the Territory’s electricity generation.

Once Tamboran secures access to the necessary pipelines and receives all required permits and approvals, supply to the Territory Government becomes unconditional.

This historic deal ensures that Territory residents, businesses and industry will share in the benefits of our growing on-shore gas industry by delivering cleaner and more affordable natural gas for power generation.

The first gas from the Beetaloo Basin that will be delivered to Territory power generators is expected in the first half of 2026.

The deal will provide gas to Territory power generators for 9 years with an option to extend for another six-and-a-half years.

Managing Director and CEO of Tamboran Resources, Joel Riddle said 'We are proud to deliver on our commitment to provide the Northern Territory Government with long-term supply of gas from the Beetaloo Basin. Tamboran has always promised that our first gas production from the Basin would be to the benefit of Territorians and we are excited to play our part in boosting energy security in the Northern Territory.

'This is a transformational development for Tamboran and our partners, after 10 years of hard work and more than A$500 million invested in Beetaloo exploration and appraisal activities. This represents a major milestone and puts Tamboran on a path where revenue from gas sales will support funding our future development phases, including supply to the East Coast and LNG gas markets.

'The proposed Pilot Project is expected to provide initial royalties to both the Northern Territory Government and Traditional Owners within the region.'

It comes as Tamboran Resources is working towards reaching a Final Investment Decision on its 40 TJ/d pilot project by mid this year – which is a key milestone in the development of the Beetaloo Basin and growing the Territory’s on-shore gas industry.

Developing the Beetaloo Basin and boosting our on-shore gas industry will create thousands of work opportunities for Territorians and boost the economy by $17 billion.

Image: Tamboran Resources South 1H (SS-1H) well located in the Beetaloo sub-basin in the Barkly Region of the Northern Territory. Image supplied by Tamboran Resources.