The Queensland Government approves exploration rights in Taroom Trough, a basin located near Miles in the southwest of the state, with the potential to become Australia’s first major oil province since the 1970s.
Taroom Trough exploration and energy future
The awarded area covers some 750 square kilometers, a territory comparable in size to Singapore. There, the companies Omega TN, Tri-Star Stonecroft and Drillsearch Energy have been selected as preferred bidders to advance hydrocarbon exploration work. The area is part of a larger package of land released by the Executive with the aim of strengthening energy supply.
The scheme also provides for any gas production to be governed by Australian market conditions, prioritizing domestic supply. This point is critical, due to the volatility of energy prices and the balance between LNG exports and domestic consumption.
The Executive argues that expanding the exploration frontier will put downward pressure on gas prices and strengthen Queensland’s energy security. The Ministry of Natural Resources and Mines has stressed that the opening of new areas sends a clear signal to the industry about the State’s willingness to attract resource investment.
The Taroom Trough emerges as a geological structure with potential for commercial discoveries. If positive results are confirmed, Australia could add a new producing province after more than half a century without major oil developments of this magnitude.
The parliamentary representation of the southwest has emphasized that guaranteeing gas supply is crucial for sectors such as agriculture. Gas is an essential input in the manufacture of fertilizersTherefore, an increase in supply can translate into lower costs along the production chain.
In this way, the official strategy combines resource development, support for regional employment and prioritization of the domestic market. Crisafulli’s government seeks to consolidate a more robust economy through new energy investments that will ensure availability and competitiveness for households and industries in the coming decades.
Source and photo: Queensland Goverment