Australia's Energy Exploration Hits 10-Year High Amid Growing Gas Demand
Australia's energy exploration has reached a 10-year high due to growing Asian demand for gas, technological advancements, and an improved investment climate. According to government data released in June, quarterly oil and gas spending in Australia hit A$471 million ($329 million) in the March quarter.
The increased spending is expected to continue with Rystad Energy predicting a 10% increase in 2026 to over $1 billion. Much of the drilling is focused on three gas-rich regions: the Otway Basin, the Beetaloo shale, and the Taroom Trough. The Otway Basin is the most established region and is close to existing infrastructure.
The Beetaloo shale has gained significant attention with the territory government offering new acreage for prospective explorers and providing co-funding. Santos is set to drill three appraisal wells in the area this year, while Japan's Inpex has taken a stake in a permit. Development of the Beetaloo could provide an onshore gas source for the Ichthys LNG plant.
However, not everyone is convinced about the development of the Beetaloo shale. Bill Hare, founder of Climate Analytics, raised concerns about the impact on the land and emissions when gas is burned.