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Gas company Santos has lost its appeal against a landmark decision that overturned approvals for its $4.7 billion Barossa offshore gas project, in a major legal victory for traditional owners on the Tiwi Islands.
Key points:
- The full Federal Court has dismissed Santos' appeal
- The decision upholds an earlier ruling that the project's environmental approval was invalid
- The $4.7 billion project would see gas piped past the Tiwi Islands to Darwin for export
The full Federal Court has rejected the company's appeal against an earlier decision that found the project's environmental approval was invalid.
The court agreed with the original finding that Santos and the federal government regulator failed to ensure traditional owners were properly consulted.
But the gas company says it still expects the project to go ahead, flagging plans to submit a fresh application in the wake of the court's decision.
The company wants to pipe gas past the Tiwi Islands to Darwin, largely for export to South Korea and Japan.
Munupi clan leader Dennis Murphy Tipakalippa led the challenge with the help of environmental advocacy and legal groups.
"We want the whole world to hear our voice. We want the whole world to see our power," he said in a statement released by the Environmental Defenders Office (EDO).
"We have fought to protect our sea country from the beginning to the end and we will never stop fighting.
"Our sea is like our mother — we are part of the sea and the sea is part of us. Santos and every other gas company must take note that this is our country and we must be consulted."
Tiwi mayor and senior elder Pirrawayingi Puruntatameri said: "This decision shows that the spirits of our people are always with us.
"Their spirit is stronger than anyone can comprehend."
The environment groups argued the National Offshore Petroleum and Safety Environmental Management Authority (NOPSEMA) failed to ensure traditional owners were properly consulted about potential risks to the marine environment and spiritual values.
The head of the NT Environment Centre, Kirsty Howey, said the decision sent a message to gas companies "that they cannot sideline First Nations peoples".
"Gas companies are not above the law," she said.
"This case was only ever about making sure Dennis and his clan had their say as the law requires."
Santos strongly denied its consultation efforts fell short of the standard required by law.
Santos to resubmit approvals, expects to proceed despite loss in court
The company has previously described the Barossa project as the biggest oil and gas investment in Australia in a decade.
Drilling commenced while court proceedings were underway but paused work before Justice Mordecai's Bromberg's decision in September.
In a statement issued following the judgement, a company spokesperson said Santos hopes to win fresh approvals for the project to go ahead as planned.
"Santos has always sought to meet its consultation responsibilities and is continuing the process of revising the Drilling Environment Plan to address the matters contained in the judgement," the spokesperson said.
"Further, Santos will now proceed with applications for all remaining approvals in accordance with the guidance provided by the court."
The spokesperson said the company doesn't expect "any material cost or schedule impact" from the court proceedings.
"First gas from the Barossa Gas Project remains on track to be delivered in the first half of 2025," the spokesperson said.
Asked whether he would support the project going ahead if the Munupi were properly consulted, Mr Tipakalippa said it was unlikely.
"For me personally I would say 'enough is enough', I would stop all this drilling to go ahead," he said.
"I [will] speak to my family clan group, [but] enough is enough."
The Northern Territory Labor government supports the project, which would extend the life of the Darwin LNG processing plant and create construction and operation jobs.
In September, Santos said the court's decision had implications for oil and gas projects around the country and called on the federal government to review environmental approval processes.
The company has not responded to questions from the ABC about whether it has lobbied the federal government on the issue.