Latest news with #TurrumPhase3
Sydney Morning Herald
19 hours ago
- Business
- Sydney Morning Herald
Government to consider changes to gas appliance ban
'Victorian gas is the cheapest in the nation. The longer we can rely on Victorian gas rather than imported gas, the better for Victoria's industrial sector.' The government has received submissions from industry, environmental advocates and other groups. Victorian Automotive Chamber of Commerce chief executive Peter Jones told The Age that the building electrification proposal 'threatens the foundation' of the industry. 'With approximately 4800 automotive businesses across the state relying on gas for their daily operations, this policy could force many of our members to either relocate interstate or shut down entirely,' he said. 'We're looking at the real possibility of vehicle parts, trailer manufacturing and other industry moving offshore permanently – taking Victorian jobs with them.' Victorian Trades Hall Council, Environment Victoria and the Victorian Council of Social Services have all made submissions supporting the plan. In March, VCOSS chief executive Juanita Pope said electric homes were better for people's health and that renters and low-income earners would need help to make the transition. 'Prioritising support for these households will mean that all Victorians can enjoy the health benefits and bill savings of electrification,' she said at the time. Loading Laundry Association of Australia chief executive Luke Simpkins said if the electrification program was implemented as proposed, it would eventually lead to higher costs. 'Everything will get passed through where possible,' he said. The debate comes as information provided by ExxonMobil to the Australian Energy Market Operator in April, as part of regular communication on the state of its assets, shows its Turrum Phase 3 project has revised its estimated capacity upwards. The project, which features a series of new Bass Strait wells, was announced in March, and the data shows it could now deliver 229 petajoules of gas over its lifetime starting from 2027, up from 137 petajoules originally expected. The numbers are preliminary and will require more work to determine precisely how much gas will be delivered from the project. But the upgrade raises the prospect that forecast shortages of gas in Victoria and New South Wales could be further delayed. When the project was announced, it factored into AEMO's calculations that pushed looming gas shortfalls back from 2025 to 2028. Energy and climate ministers have been meeting for months to map out a way to shore up supply in Australia, with discussions including giving AEMO the power to be a long-time buyer of gas through import terminals. AEMO's executive general manager of system design, Merryn York, said AEMO was waiting for further information on the Turrum project to see if it should update its advice for the national gas system. 'Additional information has been provided to AEMO's Gas Bulletin Board on gas reserves at the Turrum gas field, part of the Gippsland Basin Joint Venture (GBJV) between Esso Australia and Woodside Energy,' she said. 'We're awaiting on further analysis from both parties to determine when the additional reserves could be produced and the impact this may have on other GBJV fields and projects.' An Esso spokesperson said their anticipated production remained consistent with AEMO's road map. Loading 'Esso Australia regularly reviews remaining gas reserves and periodically updates the Australian Energy Market Operator of any material changes,' they said. 'While depletion of the Gippsland Basin is inevitable, projects like Turrum Phase 3 will ensure Bass Strait continues to produce gas for the domestic market past 2030.'
The Age
19 hours ago
- Business
- The Age
Government to consider changes to gas appliance ban
'Victorian gas is the cheapest in the nation. The longer we can rely on Victorian gas rather than imported gas, the better for Victoria's industrial sector.' The government has received submissions from industry, environmental advocates and other groups. Victorian Automotive Chamber of Commerce chief executive Peter Jones told The Age that the building electrification proposal 'threatens the foundation' of the industry. 'With approximately 4800 automotive businesses across the state relying on gas for their daily operations, this policy could force many of our members to either relocate interstate or shut down entirely,' he said. 'We're looking at the real possibility of vehicle parts, trailer manufacturing and other industry moving offshore permanently – taking Victorian jobs with them.' Victorian Trades Hall Council, Environment Victoria and the Victorian Council of Social Services have all made submissions supporting the plan. In March, VCOSS chief executive Juanita Pope said electric homes were better for people's health and that renters and low-income earners would need help to make the transition. 'Prioritising support for these households will mean that all Victorians can enjoy the health benefits and bill savings of electrification,' she said at the time. Loading Laundry Association of Australia chief executive Luke Simpkins said if the electrification program was implemented as proposed, it would eventually lead to higher costs. 'Everything will get passed through where possible,' he said. The debate comes as information provided by ExxonMobil to the Australian Energy Market Operator in April, as part of regular communication on the state of its assets, shows its Turrum Phase 3 project has revised its estimated capacity upwards. The project, which features a series of new Bass Strait wells, was announced in March, and the data shows it could now deliver 229 petajoules of gas over its lifetime starting from 2027, up from 137 petajoules originally expected. The numbers are preliminary and will require more work to determine precisely how much gas will be delivered from the project. But the upgrade raises the prospect that forecast shortages of gas in Victoria and New South Wales could be further delayed. When the project was announced, it factored into AEMO's calculations that pushed looming gas shortfalls back from 2025 to 2028. Energy and climate ministers have been meeting for months to map out a way to shore up supply in Australia, with discussions including giving AEMO the power to be a long-time buyer of gas through import terminals. AEMO's executive general manager of system design, Merryn York, said AEMO was waiting for further information on the Turrum project to see if it should update its advice for the national gas system. 'Additional information has been provided to AEMO's Gas Bulletin Board on gas reserves at the Turrum gas field, part of the Gippsland Basin Joint Venture (GBJV) between Esso Australia and Woodside Energy,' she said. 'We're awaiting on further analysis from both parties to determine when the additional reserves could be produced and the impact this may have on other GBJV fields and projects.' An Esso spokesperson said their anticipated production remained consistent with AEMO's road map. Loading 'Esso Australia regularly reviews remaining gas reserves and periodically updates the Australian Energy Market Operator of any material changes,' they said. 'While depletion of the Gippsland Basin is inevitable, projects like Turrum Phase 3 will ensure Bass Strait continues to produce gas for the domestic market past 2030.'
Yahoo
17-03-2025
- Business
- Yahoo
ExxonMobil Australia, Woodside approve $221m for Turrum phase three gas project
ExxonMobil Australia, in partnership with Woodside Energy, has announced the final investment decision (FID) for the Turrum phase three gas project. The joint venture (JV) aims to tap into underdeveloped gas resources in the Gippsland Basin with an investment of A$350m ($221m). The project, which is expected to address potential gas shortages on Australia's east coast, involves drilling five new wells in the Turrum and North Turrum gas fields. The decision comes at a critical time as Australia's competition regulator has warned of a gas supply shortfall from 2027, which could necessitate gas imports due to structural declines and uncertainties in future investments. In an emailed response to Reuters, ExxonMobil Australia chair Simon Younger said: "While depletion of the Gippsland Basin is inevitable, projects such as Turrum will ensure Bass Strait continues to produce gas for the domestic market past 2030." The Gippsland Basin JV is shared equally between Esso Australia Resources and Woodside Energy (Bass Strait), with Esso Australia taking the lead in operations. In a separate statement, Woodside's executive vice-president and chief operating officer for its Australian operations, Liz Westcott, was quoted by the news agency as saying: "The Turrum Phase 3 project, and the recently approved Kipper 1B project, will unlock additional gas that is needed to avoid future shortfalls. "Every molecule of gas Woodside supplies from the Bass Strait fields is sold into the Australian domestic market for local manufacturers, power generators and homes." Also, ExxonMobil affiliate ExxonMobil LNG Asia Pacific has entered a long-term sale and purchase agreement for the supply of liquefied natural gas (LNG). According to the agreement, ExxonMobil will purchase approximately 1.5 million tonnes per annum of ARC's LNG from the Cedar LNG project. "ExxonMobil Australia, Woodside approve $221m for Turrum phase three gas project" was originally created and published by Offshore Technology, a GlobalData owned brand. The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site. Sign in to access your portfolio
Reuters
17-03-2025
- Business
- Reuters
ExxonMobil Australia, Woodside approve final investment decision for $221 million gas project
March 17 (Reuters) - ExxonMobil's (XOM.N), opens new tab Australian unit said on Monday that its Gippsland Basin joint venture with Woodside Energy ( opens new tab has approved its final investment decision to develop the Turrum Phase 3 project, targeting underdeveloped gas resources. The approval is for the A$350 million ($221.31 million) project, which aims to drill five new wells in the Turrum and North Turrum gas fields. The Reuters Power Up newsletter provides everything you need to know about the global energy industry. Sign up here. Earlier this year, Australia's competition regulator flagged that the east coast could face gas shortage supply from 2027, potentially leading to gas imports. The shortfall is expected due to structural decline and uncertainty surrounding future investments. "While depletion of the Gippsland Basin is inevitable, projects such as Turrum will ensure Bass Strait continues to produce gas for the domestic market past 2030," said Simon Younger, Chair of ExxonMobil Australia in an emailed response to Reuters. The Gippsland Basin joint venture is a 50-50 joint venture between Esso Australia Resources and Woodside Energy (Bass Strait), and operated by Esso Australia. "The Turrum Phase 3 project, and the recently approved Kipper 1B project, will unlock additional gas that is needed to avoid future shortfalls," said Liz Westcott, Woodside's executive vice president and chief operating officer for its Australian operations in a separate statement. "Every molecule of gas Woodside supplies from the Bass Strait fields is sold into the Australian domestic market for local manufacturers, power generators and homes." ($1 = 1.5815 Australian dollars)
