ASX-listed independent oil & gas company, Bounty Oil & Gas NL (ASX: BUY) today revealed that the Offshore Drilling and Associated Infrastructure Prohibition Bill 2023 has been dismissed. The Bill was drafted to introduce amendments in three Acts to ban offshore activities, such as drilling for petroleum, in New South Wales.
The company considers it to be a favourable decision as the bill tabled to ban oil and gas exploration offshore the New South Wales coast could have turned out to be a potential impediment to the company’s exploration plans.
Details of the investigation
A report was prepared by the NSW Legislative Committee on Environment and Planning into the Minerals Legislation Amendment Bill 2023. The committee drafted the report with ten findings and proposed two recommendations after probing into varied aspects and considering inputs from field experts.
The Committee found the proposed legislation to be constitutionally invalid and recommended to dismiss the Bill.
Spanning over 4,576km2, PEP 11 is considered to be a high impact exploration project located just next to Australia’s largest gas market. It is counted to be one of the most worthwhile untested gas plays in the country as it has showed substantial gas generation as well as migration in the offshore Sydney Basin.
Image source: company update
Data source: company update
At present, Bounty Oil & Gas and Asset Energy are in talks with the government authorities to advance exploration work of the PEP-11 permit.
Asset Energy’s JV applications with the National Offshore Petroleum Titles Administrator are still in process. The applications concern variation as well as suspension of work program conditions and the extension of the PEP-11 permit.