OPERATIONS

NT call to arms

NT industry veteran calls on oil and gas professionals to urge government to lift frac ban.

NT call to arms

Darwin-based Fraser, who is now the owner/manager of Oilfield Connect which trades in overseas manufactured oilfield equipment, primarily for onshore oil and gas players, was previously the manager of OMS Oilfield Services (Australia), the only local NT oil field machine shop facility in Darwin.
 
OMS' Darwin facility was established about 32 years ago as the regional branch facility of the respected multinational OMS Group, where Fraser managed the local NT business for more than 12 years until the NT moratorium on onshore unconventional gas stopped it in its tracks.
 
Since the NT government announced a moratorium in hydraulic fracturing last September, Justice Rachel Pepper has overseen a panel of 10 scientists with expertise across water, geology, ecology, health, sociology and engineering to review all the data and submissions and interview individuals and companies.
 
The panel grilled Santos earlier this month in Darwin and heard from many environmental groups and individuals across a handful of locations across the NT, including Alice Springs.
 
Multiple previous enquiries - including the 2015 Hawke inquiry in the NT - have found fraccing to be safe if properly regulated within a fit-for-purpose regime, as it has already been performed on more than 30 wells in the NT since the 1970s without incident.
 
Yet amid the flurry of activist groups talking up perceived environmental and economic risk of the onshore shale gas industry igniting with the government's blessing, Fraser's concern is that the discussion is blurring a key distinction.
 
"We are all familiar with, and would collectively agree, that there are issues and community concerns with regard to a number of legacy mines in the Territory; however it is important to note that mineral resources and energy resources are regulated under different acts and environmental regulations," Fraser said in an emailed note to operators, suppliers and individuals across Australia yesterday.  
 
"This distinction is important as the energy industry in the NT has a long standing record of safe performance and strong regulation from government."
 
"Indeed over 90% of the Northern Territory's electricity is generated from natural gas - historically from fields such as Mereenie - which still powers Alice Springs and has been fracced since 1967; and its aquifers are fine and the world has not stopped.  
 
"Government has played a key role in establishing these effective regulations and they are regulations that safeguard the environment, protect water and people.
 
"So the reason for my approach to you is to seek your support in writing to the NT Inquiry to voice your support for the lifting of the current moratorium so small-scale exploration and appraisal activities can resume in order to gather the data necessary to ensure policy and decision making is grounded in, and guided by, the science and the facts."
 
He encouraged industry professionals to pen further short 1-2 page submission to the inquiry, which can be their own name or an organisation/business, ideally unique and in their own words, focusing on three key points:
 
- What are the key products, skills and capabilities I and/or my company possess and how they relate to the onshore oil and gas industry;
- What negative impact has the current moratorium had on you, your business and other businesses in NT; and
- What opportunities do you believe there will be for you, your business and other businesses in NT should the moratorium be lifted.

 

A growing series of reports, each focused on a key discussion point for the energy sector, brought to you by the Energy News Bulletin Intelligence team.

A growing series of reports, each focused on a key discussion point for the energy sector, brought to you by the Energy News Bulletin Intelligence team.

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