Origin Energy’s withdrawal from the Betaloo Basin this week highlights the uncertainty caused by Labor’s weak stance on the gas industry.
Natasha Fyles has failed to declare how she voted in the anti-gas motions passed by the recent Labor conference, creating uncertainty for investors.
Shadow Minister for Mining and Industry Steve Edgington said it was concerning a company like Origin would prefer to take a $70m loss than deal with the uncertainty of a Labor government.
“We heard yesterday from origin’s chief executive that Origin is going to take the gas from the project if the project goes ahead – they want the gas, they just don’t want the risk and that risk is directly in the responsibility of this anti-business Labor Government,” he said.
“Origin’s media release this week quoted chief executive Frank Calabria as saying “typically the experience in progressing these types of projects is that the exploration and appraisal phase can be uncertain”.
Mr Edgington said this was a huge sign that all is not well and we hope that it isn’t the beginning of the end of the Beetaloo.
“Six long years ago the Labor government came in and put the moratorium on gas. We then had the Pepper Inquiry’s recommendations and those still haven’t been completed.
“Right now, the Beetaloo should already be in an extraction phase and we’re not as far down the road as we need to be to unlock what is a cleaner energy source that could help power the rest of our country.
“We need this industry to be full steam ahead, and we need Natasha Fyles to get on board before more companies pack their bags to get out.”
Mr Edgington said without gas, the development of Middle Arm cannot go ahead, putting an even bigger handbrake on the Territory economy.
“Only last week, the CLP Opposition called for transparency from Natasha Fyles and the Labor Party on their position on the Beetaloo,” he said.
“We know the Labor party at their conference called for the stoppage of exploration in the Beetaloo Basin, an immediate ban on gas development, and the removal of support for the gas industry, so what is their position moving forward.
“There are many Territory businesses who have made significant investments in preparation for the Beetaloo – why are you putting a handbrake on them?”
ENDS