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There’s a blue over Blue as gas miner wins approval for 530 new wells in Qld

Blue Energy has jumped the environmental hurdle for its central Queensland gas project with approval granted for up to 530 wells.

Mar 24, 2023, updated Mar 24, 2023
Armour Energy has collapsed (Image: supplied)

Armour Energy has collapsed (Image: supplied)

However, despite outrage from the environmental lobby, the company does not yet have a production licence or binding contracts and needs a crucial gas pipeline to connect to the east coast gas market.

Managing director John Phillips said Blue had submitted development plans to the Department of Resources and Department of Environment and Science which total contemplated well numbers for the full developments of the areas.

“But clearly we need to meet the requirements of any gas contracts binding Blue to deliver specific contracted gas volumes (delivery volumes). These contracts will dictate the actual number of wells. We do not yet have firm and binding gas contracts,” Phillips said.

He said Blue Energy was trying to bring more gas to the domestic market and abiding by the processes set forth by the environmental regulator.

“We understand that there is a gas shortage on the east coast which is affecting households, manufacturers and electricity production. As Bass Strait gas flows decline, the energy requirements of the southern states will become dire, if no new gas supply is brought to market,” he said.

Lock the Gate said the gasfield would require 19 billion litres of groundwater and would threaten dozens of water bores relied on by locals.

Lock the Gate Alliance Queensland co-ordinator Ellie Smith said it was outrageous that the Environment Department approved a whole new gas field in Central Queensland despite the litany of problems Queenslanders further south had experienced with the industry.

“This new gas field will tear up more farmland, drain more groundwater and leave Queenslanders paying the price for generations to come,” Smith said.

“The International Energy Agency has said we should not approve any new gas fields in order to maintain a safe climate. This gasfield will directly contribute to more bushfires, floods and heatwaves. It’s the wrong decision for Queensland.

“Blue Energy’s modelling shows more than 19 billion litres of water will be extracted during the two decade life of this proposed gasfield. Fifty-three water bores lie within 10km of this project that farmers rely on for stock and home use.”

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