The Papua New Guinea (PNG) Gas project involves the production of gas from a number of fields in the Southern Highlands of PNG and transporting this by pipeline to gas markets in Australia. The project partners are ExxonMobil (Esso Highlands Limited), Oil Search Limited, The Australian Gas Light Company (AGL), Mineral Resource Development Corporation (a PNG company representing landowner interests), and Nippon Oil Exploration.

The PNG to Queensland Gas Pipeline Project comprises a pipeline from the PNG— Australia border in Torres Strait to Gladstone in central Queensland, which was proposed in the late 1990’s and is known as the 'mainline', and two recently proposed lateral pipelines to Omicron near Ballera in southwest Queensland and Gove in the Northern Territory.

In 1998, the Queensland and Commonwealth Governments conducted a joint Impact Assessment Study and an Environmental Impact Statement (EIS) for the gas pipeline from the PNG-Australia border in Torres Strait to Gladstone. Development of the pipeline did not proceed at this time however due to conditions in the prevailing gas market.

The project was revitalised in 2004, following a significant increase in demand in the Australian gas markets. The environmental approvals relating to the mainline are being managed by a Commonwealth and State Environmental Review Committee to ensure compliance with the commitments given in the studies and the recommendations from the 1998 Environmental Assessment Report. On 20 September 2006, the Coordinator-General was formally advised that the PNG to Queensland Gas Pipeline Project has been placed on hold due to a lack of foundation load customers and escalating construction costs. Subsequently any further work on the project, including environmental approvals has been suspended until such time as the issues can be resolved.

The Ballera and Gove Lateral Projects have both been declared ‘significant project’ by the Coordinator-General.

Resources

Information on these projects is available via the links below:

• Ballera Lateral Project
• Gove Lateral Project

Further information

For further information regarding the EIS process for the project, contact the Infrastructure and Economic Development Group and address your enquiry to the PNG to Queensland Gas Pipeline Project.