BPH Energy investee Advent Energy to review PEP-11 gas strategy following misuse of power revelations

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By Imelda Cotton - 
BPH Energy ASX PEP-11 gas exploration licence offshore gas Advent Energy

副检察长Stephen Donaghue QC表示,前总理Scott Morrison秘密任命自己担任多个部长职务,“从根本上破坏了”负责任的政府。


BPH Energy (ASX: BPH) has announced it will conduct a full review of its options relating to the PEP-11 gas exploration licence in offshore New South Wales following recent revelations that former Prime Minister Scott Morrison may have gone beyond his power in blocking the project.

The review will include investigating the potential for legal recourse as part of BPH’s strategy to protect shareholder value.

In June, Asset Energy (which is a wholly-owned subsidiary of Advent Energy) commenced proceedings in the federal court of Australia alleging that Mr Morrison was biased and “failed to afford procedural fairness” in his decision to knock back an extension of term, as well as a suspension and variation of the minimum work requirements under PEP-11.

Mr Morrison is widely reported to have taken secret responsibility over a number of portfolios including resources.

Current Prime Minister Anthony Albanese sought legal advice from the solicitor general Dr Stephen Donaghue QC, which was made public today.

Dr Donaghue said Mr Morrison’s actions were legal due to loopholes relating to disclosure in the constitution.

However, the solicitor general found Mr Morrison’s actions (including that for PEP-11) “fundamentally undermined” responsible government.

National significance

BPH said Advent’s proposal for a gas and carbon storage project at Baleen (Seablue1 well) off the coast of Newcastle has “potential national significance” in addressing current gas shortages and the move towards net zero emissions.

Advent has committed to ensuring that gas produced from the project is available for domestic supply to the east coast.

A 2021 gas report by the Australian Competition and Consumer Commission revealed that a supply shortfall in the east coast gas market was increasingly likely and indicated a finely balanced supply outlook for this year.

It is widely believed the PEP-11 project could play a key role in meeting that supply shortfall.

Energy crisis

The world is in the midst of an energy supply crisis, and Australia is not immune.

Manufacturers are being forced to close or reduce operations after gas prices increased more than four times over previous levels from around $8 per gigajoule to $40/GJ.

In June, the Australian Energy Market Operator introduced a temporary cap of $40/GJ after gas prices surged to $400/GJ on the spot market.

Current Federal Resources minister Madeleine King has said the country’s eastern states need to “free up” gas reserves for exploration and production to avoid a repeat of the crisis faced in June.