Industry News

The Territory Labor Government’s support of the mining industry is boosting the economy and creating jobs, with the latest quarterly mineral exploration expenditure the highest ever recorded in the Territory

Mineral exploration expenditure for the September quarter has shot up by 30% to $74.4 million compared to the same quarter last year and smashes the previous record of $71.6 million set in the September 2011 quarter.

The 30% year-on-year rise in expenditure in the Northern Territory for the September quarter was much higher than the Australia-wide increase of 5%.

Mineral exploration expenditure in the NT in 2023 is currently on track to be the highest calendar year expenditure on record.

Demand for critical minerals – such as lithium and rare earths - is driving this growth in exploration, accounting for $37.8 million in exploration expenditure

The Territory has 15 internationally recognised critical minerals and has geological potential for a further 13 emerging critical minerals.

And the Territory’s potential is increasingly being recognised, with our highest ever ranking in the global Fraser Institute survey earlier this year –ranked 1st globally for Best Practice Mineral Potential as the most geologically prospective jurisdiction.

As part of the Territory Government’s support for critical minerals exploration, this year $3.7 million in grants were awarded to a record 38 projects from 30 companies as part of round 16 of the Geophysics and Drilling Collaborations grants program.

This is part of the $9.5 million Resourcing the Territory initiative, which is the largest and longest-term investment ever made by a Territory Government to support resource exploration and development. 

The Territory Government also established the Mineral Development Taskforce to investigate and identify opportunities to accelerate private investment in the resources sector.

Earlier this year the MDT delivered its report and 28 recommendations to drive sustainable development of the Territory’s resources sector, which the Government accepted and is now implementing.

Quotes attributable to Minister for Mining, Nicole Manison:

“These latest figures show the world is quickly transitioning to renewable energy – and the Territory’s critical minerals are in high demand.

“The Territory’s resources sector, both in exploration and production, is a significant driver of the Territory’s economy - currently contributing close to a quarter of the Territory’s gross state product.

“The sector creates jobs, helps build our regions, and grows wealth for all Territorians, which is why the Territory Labor Government will always back it in through Resourcing the Territory grants and making the NT the most attractive place to do business.”

Source: Northern Territory Government Newsroom

Solar Nerds, Australia’s premier solar industry research group, recently unveiled its 2023 Q3 quarterly report, providing a comprehensive overview for each state, detailing the volume of installed systems, and showcasing industry leaders.

Nationwide, the solar landscape witnessed substantial growth, boasting a total installation of 793,066 kW across 83,981 systems.

Sunboost emerged as the standout leader nationally, contributing 26,261 kW, 2849 systems, and a market share of 3.31 per cent. In the STC trading sector, FORMBAY TRADING dominated with 182,414 kW and a substantial market share of 23 per cent.

In New South Wales, solar installations reached 260,926 kW across 26,882 systems, with Sunboost leading with 13,551 kW, 1410 systems, and a market share of 5.19 per cent. FORMBAY TRADING continued its dominance in STC trading, securing a significant market share of 20.04 per cent with 52,297 kW.

Queensland witnessed installations of 202,188 kW across 20,705 systems. Sunboost led with 5169 kW, 533 systems, and a market share of 2.56 per cent. FORMBAY TRADING still enjoyed the biggest share in STC trading, commanding a market share of 26.62 per cent with 53,820 kW.

Victoria embraced solar with the installation of 160,934 kW and 16,925 systems. INVINCIBLE ENERGY emerged as the top retailer in the state, showcasing 3075 kW, 390 systems, and a market share of 1.91 per cent. FORMBAY TRADING, again, is the champion in STC trading sector, with an impressive market share of 24.78 per cent and 39,883 kW.

Western Australia contributed 63,407 kW across 8145 systems. Solargain led in retail with 2281 kW, 299 systems, and a market share of 3.6 per cent. ONE STOP WAREHOUSE FINANCE excelled in STC trading, securing a substantial market share of 25.99 per cent.

The collective solar installations in South Australia, Australian Capital Territory, Tasmania, and Northern Territory amounted to 105,612 kW across 11,324 systems.

Read Solaris Finance‘s full report here.

Source: EcoGeneration 

Empire Energy acquires fit for purpose gas processing facility to support the Carpentaria project.

• Empire has acquired AGL Limited’s Rosalind Park Gas Plant (“RPGP”) for $2.5 million in cash

• This significantly accelerates the path to Carpentaria Pilot Project (“Pilot Project”) production and reduces capital expenditure required to commence gas sales

• RPGP has a design capacity of 42 TJ / day and supported AGL’s Camden Gas Project until it ceased production in August 2023

• RPGP is a fit for purpose facility that has passed Empire’s stringent technical due diligence process

• Empire estimates that the acquisition of the RPGP may result in >$30 million in cost savings and reduce lead time by ~12 months compared to new build alternatives

• Empire is focused on reaching a final investment decision for the Pilot Project in the coming months 

To view the full announcement, click here.

Source: Empire Energy Group 

The Territory Labor Government is charging towards a renewable future with 64 new electric vehicles (EVs) within its fleet, including one EV at the Territory Wildlife Park, which has replaced two petrol vehicles.

That popular Darwin park will soon replace its diesel trains with electric shuttle trains.

Committed to purchasing 200 electric fleet vehicles by 2030, the NT Government is well on track to achieve its target.

The fleet now boasts 64 electric vehicles, surpassing the 2023 target of 40, with another 49 on order.

To support the integration of these new EVs, 46 charging points and 62 charging stations have been installed in Government-leased buildings across Darwin, Katherine and Alice Springs. This infrastructure will ensure convenient and reliable charging options for the expanding electric fleet.

The NT Government is at the forefront of promoting the adoption of electric vehicles among Territory businesses. By leading the way and providing certainty for investments in EV uptake, the government aims to accelerate the transition to electric vehicles in the Territory.

This initiative aligns with the NT Government's Roadmap to Renewables, the NT Climate Change Response Towards 2050, and the Digital Territory Strategy, demonstrating Government’s commitment to sustainable and innovative solutions.

Last year, the NT Government reduced registration and stamp duty fees for plug-in EVs and introduced the Electric Vehicle Charger (Residential and Business) Grant Scheme.

The NT Government’s EV Charger Grant Scheme is still running and funding is available for both Territorians and Territory businesses. To date, $300,000 has been allocated, which includes 100 residential grants of $1,000 and 80 business grants of $2,500. The grants are for the purchase and installation of EV chargers.

Attributable to Minister for Renewables and Energy, Nicole Manison:

“The Territory Labor Government is driving towards our goal of 50 per cent renewables by 2030.

“Our abundance of solar resources here in the Territory allows us to work with all of our departments, parks and communities to reduce the impacts of climate change.

“Our Government is acting and will continue to transition to a low carbon future, we will continue to put more electric cars on the road, we will continue to reduce fees for low emission vehicles, and we will continue to roll out renewable energy right across the Territory."

Attributable to Minister for Parks and Wildlife, Selena Uibo:

“It’s fantastic to see the Territory Wildlife Park embracing green technology with the purchase of this EV and that their Visitor Centre solar installation is in full swing.

“Not only is this better for the environment it contributes to significant cost savings.”

Attributable Territory Wildlife Park Director, Rob Hall:

“The Territory Wildlife Park is committed to a sustainable future and contributing to the National Net Zero Targets.

“The purchase of an electric vehicle is a massive step in the right direction. 

“With the associated installation of more clean energy generating solar systems at the Park and the importing of new and modern energy efficient electric people movers to replace the Park’s current diesel trains TWP is making significant strides in its commitment to a clean green future.”

Source: NT Government Newsroom

Gas will be a critical part of power generation well into the second half of the 2030s and it will also underpin efforts by export partners like Japan to decarbonise.

Please click here to continue reading the article from The Australian Financial Review.

The Santos-operated Darwin LNG joint venture and KAEFER Integrated Services will establish a new pathway to skilled, well-paying, secure jobs for Aboriginal Territorians through a multimillion-dollar training and employment program commencing in early 2024 in Darwin.

The Darwin LNG joint venture will provide $3 million to fund KAEFER’s delivery of this new Aboriginal jobs program at KAEFER sites and Darwin LNG. KAEFER is a valued partner providing scaffolding, mechanical and fabric maintenance services for the Darwin LNG plant.The last LNG cargo of Bayu-Undan gas has sailed from Darwin LNG and the next LNG cargo will be from Barossa gas. Construction of Darwin LNG started 20 years ago and the facility is now being readied for the next 20 years, in preparation for the start of Barossa gas production in 2025.

Darwin LNG and KAEFER will support this new Aboriginal jobs program with high-quality recruitment and mentoring services to help overcome social, economic and other barriers often faced by Aboriginal people entering training, education and employment.

This will include supporting them through the recruitment process and providing ongoing support with financial management and other services, to help them succeed in training and in the workforce.

The program will provide opportunities for Aboriginal people to be trained by KAEFER in the following areas:

·       Tertiary mechanical engineering and human resources

·       Trade apprenticeships in welding, boiler making, painting and blasting

·       Certificate III Basic Scaffolding Cadetships

·       Certificate III Admin/HSE

·       Certificate IV Accounting/Book-keeping

·       Certificate IV HSE Adviser Traineeships

KAEFER and Darwin LNG intend to provide ongoing employment for participants in the program at their worksites.

Santos Chief Executive Officer and Managing Director Kevin Gallagher said Darwin LNG has been part of the Territory’s economy and communities for 20 years now since construction commenced, and it will be revitalised with new gas supply from the Barossa Gas Project which will keep it going for another 20 years.

Mr Gallagher said, “Santos and the Darwin LNG joint venture partners are committed to real action to help close the gap on Aboriginal disadvantage in the Northern Territory. Training, education and good jobs are a universal foundation for human flourishing. They are the building blocks for individual social and economic empowerment, and just as importantly, for stronger, more resilient families and communities.”

KAEFER Chief Operating Officer Trent Northover said, “KAEFER is committed to investing in our people – from grassroots level through to long-term employees. We are very thankful for the opportunity to work alongside Santos and Darwin LNG on this program, which strongly aligns with our Reconciliation Action Plan commitments. This program will provide Aboriginal Territorians with structured pathways that will lead to meaningful, sustainable employment. Our established facilities, long-term presence in Darwin and close working relationship with Santos and Darwin LNG will provide the ideal platform for this.”

The four-year program will have an expected initial intake of 10 scaffolding cadets, one Cert III trainee and one apprentice. Twenty-six positions are anticipated to be offered over the four years of the program.

Santos has a 43.4% operated interest in Darwin LNG. Other joint venture partners are SK E&S (25%), INPEX (11.4%), Eni (11%), JERA (6.1%) and Tokyo Gas (3.1%).

More information for Aboriginal people interested in the program will be widely advertised in the Northern Territory later this year.

To view full media release, click here.

Source: Santos Ltd

Australia will still need substantial gas production 26 years from now to ensure reliable and affordable energy in 2050, even under a net zero scenario, according to The future role of natural gas in Australia and the region.

EY was commissioned by Australian Energy Producers to provide an independent assessment of the future role of natural gas in Australia and the region to inform Australia’s Future Gas Strategy.

EY examined around 350 net zero pathways around the world and has recommended Australia should prepare for multiple gas production scenarios due to the uncertainty of the transition.

“Gas is expected to play a major role in the global net zero transition,” the report said.

“Ongoing investment in gas supply is required to maintain production levels from operating fields. As these fields begin to decline, investment in new supply options will be required to meet projected demand.

“To manage the risks associated with the transition to net zero Australia’s energy and climate mitigation policy needs to prepare for all three future scenarios, with policy and regulatory actions that keep as many pathways to net zero viable for as long as possible.”

“Preparing for only one pathway leaves Australia extremely vulnerable to developments that are outside Australia’s control.”

Under the Electrify Scenario, domestic and regional demand for Australian gas would total 56 per cent of current production levels in 2050 after a renewable rollout equal to 20 times current levels.

Under the Blended Scenario, demand for Australian gas would increase to 2040 before decreasing to 86 per cent of current levels by 2050 as renewables grow to 13 times current levels.

Under the Capture Scenario, demand for Australian gas would rise 30 per cent from current levels by 2050 with a more limited renewable rollout at only 10 times current levels.

Australian Energy Producers Chief Executive Samantha McCulloch said: “The study shows gas is a safety net for Australia’s energy transition, providing affordable and reliable energy for households and businesses.

“The inclusion of natural gas as a core pillar of Australia’s energy and climate policies will speed up the transformation and secure substantial economic benefits from net zero.”

The report found Australia’s unique position serving growing Asian demand meant it had to chart its own course, capturing more of the global market and lowering emissions through supporting renewable roll-out and coal-to-gas switching.

The report noted that LNG represents “a significant export revenue opportunity for Australia across all three scenarios, even where LNG exports are complemented by low-carbon hydrogen exports over time.”

Ms McCulloch added: “Australia needs to plan for both strong domestic and international demand for gas to secure the associated emissions reduction and economic opportunities.

“As well as keeping the lights on across Australia and the region, Australia’s gas industry delivered over $16 billion of government revenues last financial year and spent another $45 billion with Australian businesses, all the while supporting tens of thousands of jobs across the economy.

The report found Australia’s gas industry also had a critical role to play in rolling out net zero technologies and fuels including carbon capture, utilisation and storage (CCUS) and low-carbon hydrogen.

“CCUS and hydrogen are key complements to natural gas in a zero emissions future — all plausible net zero pathways involve CCUS and hydrogen at different scales,” the report said.

ENDS

EY was engaged to provide an independent assessment of the future role of natural gas in Australia and the region. All references to the report must be considered in the context of the full Report.

Attachment: EY Report, The future role of natural gas in Australia and the region

Source: Media Release - Australian Energy Producers

NT Parliament convenes tomorrow for the final Sittings of 2023, with a host of legislative reforms on the agenda.

Proposed reforms in the Environment Protection Legislation Amendment Bill (Serial 105) represent the most significant milestone towards ensuring the Territory’s environmental regulatory framework is able to deliver ecologically sustainable development since the commencement of the Environment Protection Act 2019. The key aspect of the Bill separates environmental regulation of mining activities from resource and development functions.

Victim survivors of domestic and family violence will receive more protections under proposed reforms in the Justice Legislation Amendment (Domestic and Family Violence) Bill 2023. The Bill also provides stronger measures to hold offenders to account.

The Residential Tenancies Amendment Bill 2023 offers a range of safeguards for tenants experiencing domestic and family violence; and strengthens renters’ rights. This includes prohibiting rent bidding, and improving privacy protections for tenants.

Parliament will also debate reforms that better support victims of crime. The Victims of Crime Assistance Legislation Bill 2023 proposes a number of changes to streamline and expedite processes for victims to receive financial assistance.

Quotes attributable to Leader of Government Business Chansey Paech:

“Despite the end of the year drawing near, the Territory Labor Government is maintaining its momentum for change with a big Sittings agenda this week.

“We continue to strengthen legislation that supports the rights and interests of Territorians, and maximises the efficiency, effectiveness and integrity of Government operations.”

Media Contact: Jasmin Afianos - 0419 361 127

Source: Northern Territory Government

EP 117 Operational Update Stimulation Commences at SS-1H

Highlights:

• Tamboran has commenced stimulation activities at the Shenandoah South 1H (SS-1H) well pad within its 38.75 per cent owned and operated EP 117 permit.

• The program, which is planned to include 10 stimulation stages over a 500-metre (1,640-foot) horizontal section within the Mid-Velkerri B Shale, is expected to be completed in December 2023.

• The campaign is being conducted by Condor Energy Services (Condor), a respected Australian energy services provider.

• On completion of the stimulation campaign, production tubing will be installed ahead of the flowback of stimulation fluid and gas breakthrough.

• Tamboran expects to release 30-day initial production (IP30) flow rates in Q1 2024, subject to weather conditions and the timing to flow back stimulation fluid to achieve gas breakthrough.

Please click here to view the full announcement.

Source: Tamboran Resources

Santos has strengthened its position as a regional carbon capture and storage (CCS) leader by entering into a strategic collaboration agreement with ADNOC, a progressive energy company based in Abu Dhabi.

The agreement will explore the potential for establishing a platform offering decarbonisation services to a broad range of energy users and includes potential:

• Collaboration on the development of CCS technologies
• Joint participation in global CCS projects
• Provision of CCS solutions to emitting companies across Asia including the development of shipping and transport infrastructure.

Santos Energy Solutions Executive Vice President Alan Stuart-Grant said the agreement highlighted the globally-recognised credibility of Santos’ growing CCS portfolio and the ongoing role for energy companies in delivering real decarbonisation solutions to the large energy-consuming economies of Asia.

“Energy companies like Santos and ADNOC have been long-term energy suppliers to the Asian region and key to its energy security, industrial growth and rising living standards,” Mr Stuart-Grant said.

“Through collaboration, we can accelerate the region’s transition toward a low-carbon future that is both reliable and affordable. There is an enormous opportunity for traditional energy suppliers like Australia and the United Arab Emirates to be at the forefront of helping regional decarbonisation through utilisation of our natural competitive advantages in carbon storage and energy supply chains.

“As demand for CO2 transport and storage grows, Santos continues to work with governments to urgently progress the necessary regulatory, fiscal and carbon credit frameworks to support international collaboration on CCS to decarbonise our region.

“We know a large scale-up of CCS is required to meet the world’s climate objectives and companies like Santos and ADNOC have the technology, infrastructure and knowhow to be able to deliver low-cost CCS and low-carbon energy on a global scale.

“CCS is a proven technology that is critical to achieving climate goals throughout the region and this agreement with ADNOC positions Santos to accelerate the development and expansion of our CCS portfolio to meet the increasing demand for CCS in the region.”

Santos has a three-hub CCS strategy with the Moomba CCS project on track for first injection in 2024, front-end engineering and design (FEED) at Bayu-Undan CCS (offshore Timor Leste) nearing completion, and plans for Reindeer (offshore Western Australia) progressing well.

The International Energy Agency 2023 Net Zero Roadmap update assumes about 6 gigatonnes per year of storage from CCS will be required by 2050 – more than 100 times more than today’s operational capacity.

The IEA recognises Australia’s competitive advantage in CCS, saying earlier this year, “Australia is well-suited to large-scale deployment of CCS to facilitate domestic CO2 abatement and support regional emissions reductions.”

ADNOC is a progressive global energy company based in Abu Dhabi. The company has allocated an initial $15 billion to advance and accelerate lower-carbon solutions by investing in new energies and decarbonisation technologies.

The company has ambitions to reach net zero by 2045 and has already announced the intention to capture up to 10 Mtpa of CO2 by 2030.

To view full media release, click here,

Source: Santos Ltd