BPH Energy investee company lodges new appeal against PEP-11 gas permit rejection
BPH’s investee Advent Energy has invited tenders for conductor and surface casing services for the offshore gas exploration well.
BPH Energy (ASX: BPH) investee Asset Energy has fired the next shot in a legal battle with former Australian Prime Minister Scott Morrison over his decision to not renew offshore New South Wales gas exploration permit PEP-11.
The company — which is a wholly-owned subsidiary of unlisted explorer Advent Energy, in which BPH holds a 36.1% interest — has lodged an amended originating application with the Federal Court of Australia for judicial review.
In the application, Asset makes a number of claims against Mr Morrison’s purported use of non-public ministerial powers to block the licence.
The company claims that in making the decision — which was formally handed down in March — Mr Morrison breached the requirements of procedural fairness in that he “predetermined the application”, causing the purported decision to be “infected by actual bias”.
Additionally, Asset claims it was not provided the opportunity to respond to issues raised by the National Offshore Petroleum Titles Administrator in relation to its financial capacity to progress a planned work program across the PEP-11 acreage.
Finally, it says Mr Morrison’s decision should be considered null and void because he was not validly appointed as the responsible Commonwealth minister at the time.
The application is seeking Mr Morrison’s decision to be overturned and for costs is listed for a one-day hearing next March.
PEP-11 resources
The 4,500 square kilometre PEP-11 licence is held by Asset (85% equity) and joint venture partner Bounty Oil and Gas (ASX: BUY).
It expired in February 2021, but was able to maintain currency until a decision on its renewal was made.
On its website, BPH said the permit has been assessed to contain up to 13.2 trillion cubic feet of prospective recoverable gas resources, adjacent to Sydney and local power and port infrastructure.
Extension application
Advent had applied for PEP-11 to be extended and varied so it could drill the Seablue-1 gas well, about 26km off the coast of Newcastle.
BPH announced in December 2021 that the Morrison government had refused the extension application following environmental concerns and community opposition to the proposed exploration work.
Liberal MPs in coastal seats had reportedly raised concerns directly with the Prime Minister’s office about PEP-11’s apparent unpopularity and had expressed frustration that then-Resources Minister Keith Pitt had not rejected the permit renewal.
Mr Morrison overruled Mr Pitt, who was believed to be in favour of the extension, to make the decision.
The cancellation announcement was made a few months ahead of the federal election.
Advent Energy took the matter to the Federal Court in June, claiming Mr Morrison was biased in his decision and failed to afford procedural fairness to the application.