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Posted: 2022-11-16 08:39:30

A Federal Court justice has questioned Santos' argument that it was "unworkable" to try and consult a specific clan of traditional owners over the company's plans to drill in the Barossa gas field.

Justice Debra Mortimer is one of three Federal Court justices presiding over an appeal by Santos against a landmark decision that halted drilling operations for its $4.7 billion project in the Timor Sea.

The project — which will extract gas from under the Timor Sea 300 kilometres north of Darwin — is one of the largest Australian oil and gas investments in nearly a decade. 

In September, the project was ruled invalid after a judge found the offshore gas regulator had failed to assess whether the company had consulted with all "relevant parties", which he said should have included the Munupi clan of the Tiwi Islands.

ConocoPhillips pipes gas to from the platform to Darwin.
Santos is hoping to start gas production from Barossa in the first half of 2025.(ConocoPhillips)

Appealing the decision, lawyers for Santos have argued the clan did not legally count as "relevant persons" and that it was unreasonable to expect the company to consult with "each and every" individual clan member.

However, Justice Mortimer told the court on Wednesday: 

"The only category which is said to be unworkable are Aboriginal and Torres Strait Islander people who have interests in this area."

"It's not said to be unworkable to contact a department. It's not said to be unworkable to consult an organisation. It's not said to be unworkable to consult a fisheries body [which] has hundreds of members.

"It's only said to be unworkable to consult with Aboriginal and Torres Strait Islander people."

a group of protesters holding signs saying no new gas
Supporters of Tiwi Islands traditional owners protested the appeal outside the Federal Court in Melbourne.(Supplied: Dylan Quinnell)

Debate over consultation process

Santos has previously said consultation with Tiwi traditional owners started in 2016 and included contacting the Tiwi Land Council about the project.

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