In a significant victory for Santos, the Federal Court of Australia has ruled in favor of the gas giant, allowing it to continue laying the underwater pipeline for its $5.7 billion Barossa gas project in the Timor Sea. The legal dispute ensued after a group of Tiwi Islands elders, represented by the Environmental Defenders Office, sought an urgent injunction, claiming that the pipeline would jeopardize underwater cultural heritage sites and sacred dreaming places.
This decision comes following a pause in pipeline works last November as a result of the legal action initiated by the Tiwi Island traditional owners. The court’s dismissal of the elders’ challenge now paves the way for Santos to proceed with the installation of the subsea pipeline infrastructure for the Barossa gas project.
The pipeline, spanning 263 kilometers, had been the subject of intense legal scrutiny, with concerns raised about its potential impact on Aboriginal cultural heritage and sacred landscapes along its route, located approximately seven kilometers west of the Tiwi Islands. However, with the Federal Court’s ruling, Santos has been granted permission to resume the critical pipelay activities, marking a crucial milestone for the company and the energy industry.
Santos’ successful legal battle and the subsequent resumption of pipeline works represent a significant win for the economy, job creation, and energy security in Australia. The project’s temporary cessation had prompted concerns about the potential adverse effects on employment and economic growth, prompting relief at the resumption of operations. On the economic front, the delay was estimated to cost Santos approximately $1 million per day, underscoring the substantial financial ramifications of the halted construction.
As Santos prepares to progress with the installation of the subsea pipeline infrastructure for the Barossa gas project, the resumption of operations is set to provide a substantial boost to job creation and economic development, while also contributing to bolstering energy security. The company’s determination to overcome legal obstacles and proceed with the project underpins the strategic importance of the Barossa gas project in meeting energy needs and driving economic prosperity.
