Mr STYLES - 2012-11-29
The people of Nhulunbuy and the Gove Peninsula are extremely concerned about the future of their town which, as everyone knows, is dependent upon Pacific Aluminium and the bauxite resource. Can you please provide an update to the House on the government’s efforts to secure a reliable gas supply to Nhulunbuy?
ANSWER
Madam Speaker, I thank the member for Sanderson. I take this opportunity to advise members of this House, and those who have an interest in securing energy for the long-term future of the Northern Territory - in particular East Arnhem, specifically to Nhulunbuy and Gove – of the opportunities that would flow from there. As I have said on the record a number of times, I leave no stone unturned in achieving that objective. The project involves three very different elements and involves a number of parties.
In order, the first one is the corridor which has been largely cleared. There is still work to be done on the final clearing of that corridor and, in preparation for that, meetings with the NLC have been conducted.
The second aspect of this is a pipeline and the underwriting of the construction of a pipeline along that corridor. I commend the Commonwealth government for its recognition of the necessity of providing security for the construction of a pipeline. My meetings with Martin Ferguson and minister Crean were very positive on that front. I also raised that matter in a conversation I had with Prime Minister Gillard about the Commonwealth’s role in providing the underlying support for the construction of a pipeline; that is an essential part of it.
However, none of this could work unless there is gas upon which a deal could be struck. Now there is a demand for gas, the focus is on the supply of gas. The position is that no amount of gas from one supplier can meet the requirement. Therefore, there needs to be an aggregated supply which comes, in the first instance, from three places: Eni Blacktip, Santos in the Mereenie field, and, potentially another area, and from the Northern Territory government through its secured reserves.
The focus has been in working in that commercial space. Not much can be said about it at this stage because we are working with the assistance of the line going from Rio in London to Pacific Aluminium here, regular contact with Duncan Hedditch here, and Sandeep Biswas – wherever he is; either Toronto or Brisbane. We have the support in the negotiations on that front with a team working in the Territory with a new person, Dr Ted Campbell, assisting us with a high-level negotiation and analysis of the technical and commercial aspects of this. We remain hopeful we will be able to secure this deal and ensure we not only keep Nhulunbuy going, but we open up immense possibilities for the supply of gas now that there is strong demand for domestic gas in the Territory ...
Ms Walker: Gove people want to see you out there. You can go to China, you can go to New Zealand, but you will not go to ...
Madam SPEAKER: Order! Order!
Mr MILLS: Excuse me? I have spoken to you about what was happening on that front ...
Members interjecting.
Madam SPEAKER: Order!
ANSWER
Madam Speaker, I thank the member for Sanderson. I take this opportunity to advise members of this House, and those who have an interest in securing energy for the long-term future of the Northern Territory - in particular East Arnhem, specifically to Nhulunbuy and Gove – of the opportunities that would flow from there. As I have said on the record a number of times, I leave no stone unturned in achieving that objective. The project involves three very different elements and involves a number of parties.
In order, the first one is the corridor which has been largely cleared. There is still work to be done on the final clearing of that corridor and, in preparation for that, meetings with the NLC have been conducted.
The second aspect of this is a pipeline and the underwriting of the construction of a pipeline along that corridor. I commend the Commonwealth government for its recognition of the necessity of providing security for the construction of a pipeline. My meetings with Martin Ferguson and minister Crean were very positive on that front. I also raised that matter in a conversation I had with Prime Minister Gillard about the Commonwealth’s role in providing the underlying support for the construction of a pipeline; that is an essential part of it.
However, none of this could work unless there is gas upon which a deal could be struck. Now there is a demand for gas, the focus is on the supply of gas. The position is that no amount of gas from one supplier can meet the requirement. Therefore, there needs to be an aggregated supply which comes, in the first instance, from three places: Eni Blacktip, Santos in the Mereenie field, and, potentially another area, and from the Northern Territory government through its secured reserves.
The focus has been in working in that commercial space. Not much can be said about it at this stage because we are working with the assistance of the line going from Rio in London to Pacific Aluminium here, regular contact with Duncan Hedditch here, and Sandeep Biswas – wherever he is; either Toronto or Brisbane. We have the support in the negotiations on that front with a team working in the Territory with a new person, Dr Ted Campbell, assisting us with a high-level negotiation and analysis of the technical and commercial aspects of this. We remain hopeful we will be able to secure this deal and ensure we not only keep Nhulunbuy going, but we open up immense possibilities for the supply of gas now that there is strong demand for domestic gas in the Territory ...
Ms Walker: Gove people want to see you out there. You can go to China, you can go to New Zealand, but you will not go to ...
Madam SPEAKER: Order! Order!
Mr MILLS: Excuse me? I have spoken to you about what was happening on that front ...
Members interjecting.
Madam SPEAKER: Order!
Last updated: 09 Aug 2016