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Farmers target Santos CSG ambitions

AFTER chasing Metgasco out of New South Wales and enraged by the state's new tighter anti-protest laws, Lock the Gate has now marshalled farmers across the state to call on Premier Mike Baird to cancel Santos’ expired and inactive CSG licences.

Anthony Barich
Farmers target Santos CSG ambitions

In what is something of a purple patch for the fraccing wars raging across the east coast and Northern Territory at the moment, farmers have written to Baird and his energy minister Anthony Roberts, who called protestors “eco-fascists”

The farmers said in the letter that it was not in the “interest of the communities and economies of our region for these licences to remain in limbo” and that living under a CSG licence was a “cause of significant anxiety for the rural communities over which they lie”

The move is part of a sophisticatedly orchestrated anti-fossil fuels campaign, coming just as the Wilderness Society released a report, Status report on Santos CSG Licences in North West NSW.

The report found that 11 Santos licences have been allowed to expire or remain inactive, operations have been abandoned and work programs previously approved have been retracted and are in contradiction to the new NSW Gas Plan.

Citing two locals living under such CSG licences, LTG quoted Margaret Fleck from the Mullalley Gas Pipeline Accord who lives under PEL 12 that has been inactive for years and expires in September.

"Having a CSG licence hanging over your head stops you making any serious investments into your property and business because you think to yourself if Santos gets approval to drill then I'm getting out of here, the water will be ruined and I won't want my family living near a gas well,” she said.

“All of the old Santos exploration wells in the area have been plugged and abandoned, we are calling on the government to provide us with certainty and remove the threat of coal seam gas once and for all.”

Then there’s Anne Kennedy from Coonamble who lives under PEL 434 that expired on February 13, who said “the whole community – including the council, Aboriginal Land Council, CWA and farmers – have all said publicly that we oppose CSG”.

“Now that the PEL has expired there is a great opportunity for the government to cancel the licence,” Kennedy added.

The Wilderness Society Newcastle’s campaign manager Naomi Hodgson said Santos, which was trading at $3.72 this morning – a far cry from its 12-month high of $7.99 last May – was in a “dire financial situation and have stated publicly that they will be limiting investment in NSW”

Therefore, she reasoned, it's time for the government to “give certainty to the communities living under the shroud of coal seam gas and cancel the exploration licences”

Response

Santos’ general manager – NSW, Peter Mitchley, told Energy News that development of the Narrabri gas project was the focus of its work in NSW, and “our position has not changed” on the matter.

The company is still evaluating petroleum resources across its licences in accordance with the work programs agreed annually with the government.

“The petroleum licences mentioned are – by law – in full force and effect, and are currently in the process of renewal with the NSW government,” he said.

“While we are focussing on the proposed project, it is well known that Santos holds acreage across the broader north-west region. Future development of acreage would only proceed with landholder consent and thorough community consultation.”

Santos acquired operations around Narrabri in November 2011 via its takeover of Eastern Star Gas, before undertaking a review and upgrade of the facilities. It rehabilitated a number of operational sites. Eight wells and one core hole were drilled in addition to the existing pilot wells.

The Adelaide-based oiler is undertaking an exploration and appraisal program to gain more information about the natural gas resource, while finalising the Environmental Impact Statement for the proposed Narrabri gas project.

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