Showing posts with label Coal Seam Gas. Show all posts
Showing posts with label Coal Seam Gas. Show all posts

Friday 3 April 2015

When the NSW gas industry comes to visit: "They say ignorance is bliss and little did I know that life as I knew it was about to change forever"


How it starts – with a knock at the door.

Excerpt from 2011 submission, by northern NSW beef cattle and mixed broad acre farmers Brenden Smith and Angie Smith to the NSW Legislative Council Inquiry Into Coal Seam Gas:

Our farms are situated in PEL 470 and we were approached by a representative from Planet Gas to put an exploration well on one of our properties. We were told it was only one well and it was nothing to worry about.  After further investigations, we found out it was going to be a series of wells with a pumping station on a neighbouring farm to join to a pipeline to take the gas to a major pipeline connecting to Gladstone in the North and Wellington and Newcastle in the south.  It seems all this had been arranged without notifying landholders or local councils. How can this be allowed to happen?  

What one community did about it.

Excerpt from a guest post in 1 Million Women by Angie Smith:

Prior to 2010 I didn't even know what coal seam gas was or that it was embedded in the coal seams deep under our farm. I had no idea what a Petroleum Exploration Licence was let alone that there was one covering our district called PEL470. Hydraulic fracturing was another language.

They say ignorance is bliss and little did I know that life as I knew it was about to change forever.

After a visit from a representative from Planet Gas seeking permission to drill a core hole on our land life went into overdrive. Being a fourth generation farmer I descend from a long line of agriculturalists. My husband is a successful, passionate farmer and our three children, although at university and school, are heavily involved with the running of our family farm. The land is not only in our blood but our hearts as well. Mining companies and governments thought they could establish a gas industry in some of the richest farming land in Australia. They didn't bank on the power of people.

Life became very different from the usual day to day running of the farm and family. Night reading became Petroleum Onshore Act 1991 and NSW Government Draft Strategic Regional Land use Plan. Neighbours were alerted and meetings were planned and email lists collated. Meetings with local, state and federal MP's were attended. Days spent at the legislative Council Inquiries. Letters were written.
Politicians from all parties came to our home to discuss CSG. The phone rang constantly. Involvement on an advisory committee enabled travel to Emerald, Springsure, Toowoomba, Chinchilla, Dalby, Gunnedah, Narrabri and Brisbane to meet with others farmers to learn from their experiences and realise that coexistence is not possible. Legal advice was sought. Lobbying of politicians became a daily occurrence. Meetings with the Chief Scientist and various other influential people became the norm. Every landowner in PEL470 was united and signed an objection to the licence renewal of PEL470.

On 14th October 2014 the Minister for Resources and Energy cancelled our licence.

People power had triumphed…..

Friday 27 March 2015

NSW State Election 2015: Not happy, Mike!


Letter to the Editor in The Northern Star, 24 March 2015:

Poles apart

The NSW Lib/Nat state government wants to privatise the electricity network by leasing the distribution network for 99 years.

Most NSW residents will therefore never again see it in public hands and when the lease expires in 2114 it would probably get renewed for another 99 years meaning it will never return to public ownership.

The state will not benefit financially for another 99 years after blowing the original booty on a stack of hasty re-election promises.

As with all privatisation of the people's assets, staff are sacked, service declines and prices rise, just look to Telstra.

When Telstra was in government hands they were Australia's biggest employer and there were works yards in every town with trucks, tractors and local qualified Telstra linesmen ready to attend promptly to faults and new installations.

Now that is all gone, mostly contractors do the work, employment and training of school leavers has all but stopped, service doesn't exist and prices have risen.

The NSW Lib/Nat government claims we will not be affected on the Far North Coast, however Transgrid which supplies most of our power from the high voltage distribution network will be 100% privatised.

Maybe when the electricity prices go up we can resort to using the methane bubbling out of the ground for heating and cooking once the government covers our land in leaking CSG wells.

GARRY OWERS
Meerschaum Vale

Letter to the Editor in The Daily Examiner, 25 March 2015:
MP loses trust
BEFORE you vote remember that once the electricity network is sold off it's gone for good, and no amount of bleating from our ineffective member Chris Gulaptis is going to get it back or stop the Sydney-based liberals selling off Essential Energy at a latter date.
This is the same member for Clarence who had to clarify with his party who he represented over the closing of the Grafton goal, i.e. his party or the people who elected him.
How can he be trusted to look after his electorate?
How can he be trusted again?
Paul Macdermott
Lawrence

Letter to the Editor in The Northern Star, 25 March 2015:

Poles an asset

Why sell a publicly owned monopoly guaranteeing a $1.7 billion return every year?
Privatising publicly owned utilities like electricity assets and water supplies puts states at risk of being held to ransom, especially if foreign owned (e.g., South Australian electricity assets are Chinese owned). There is significant foreign interest in our electricity assets. How simple to cripple a state by turning off the electricity supply.
The $20 billion from leasing these assets is illusory. In truth the NSW public sector's net financial worth will be substantially reduce adding $1-2 billion annually to the budget deficit, weakening the state's financial position.
It displays the worst features of past privatisations of public assets with the financial loss at the top end of the range of past ventures. 'Asset recycling' won't occur as non-income generating assets - hospitals, schools, roads - will replace an asset generating income.
The claim that 49% of the poles and wires will be leased is very misleading. One hundred per cent of Transgrid and 50.4% of both Ausgrid and Endeavour Energy will be privatised representing about 67% of electricity assets, not the 49% oft quoted by the coalition. Government will lose control over the underlying infrastructure.
Who wants a Premier with only a Plan A or a government that deceives the electorate for political gain?
MEG PICKUP
Ballina

Thursday 12 March 2015

Baird Government and NSW North Coast Nationals continue to betray Northern Rivers communities and their sustainable regional economies


Gasfield Free Northern Rivers Media Release, 11 March 2015:

Northern Rivers under even greater threat of invasive gasfields.
                   
Today’s announcement that AJ Lucas has bought PEL 445, shows that they have set their sights firmly on the Northern Rivers for gas exploration. 

AJ Lucas is the biggest drilling company in Australia, they own seventy seven drill rigs, and have the capacity and resources to commence exploration drilling operations as soon as necessary approvals are in place. 

Ian Gaillard, Spokesperson for Gasfield Free Northern Rivers said "Our region is now threatened more than ever with Queensland drillers probably looking to the Northern Rivers to meet export gas shortfalls at Gladstone. 

"This development makes it more likely that the instant the election is over, if the Liberal National Government is returned to power, Northern Rivers communities will be facing the spectre of a gas drilling invasion. 

"Lismore, Kyogle, Nimbin, Coraki, out west past Urbenville and right down to Maclean will all be up for grabs. As will the regional water supply areas that service major population 
centres like Ballina and Byron Bay. 

"The transfer of PEL 445 to AJ Lucas makes the outcome of the upcoming election even more critical for the future of our region. 

"This news will galvanise people in the region to redouble their efforts over the coming weeks to demand a commitment from local National Party candidates who are the only party refusing to support community calls for a Gasfield Free Northern Rivers."

Coal Seam Gas and mineral exploration are issues in the NSW state election of 28 March 2015 right across Northern Rivers catchment areas


On Twitter 10 March 2015


MEDIA RELEASE: 9th March 2015

Licence cancellation another cynical vote grabbing exercise by NSW Government

Gasfield Free Northern Rivers have responded with ambivalence to the announcement today that a petroleum licence in the south of the region has been cancelled. Resources Minister Anthony Roberts travelled to Grafton to announce that gas company Clarence Moreton Resources had agreed to hand in PEL 478.

“This is the cancellation of a small inactive licence. The fact remains that the current Liberal-National Government is actively supporting the roll out of the CSG industry across large parts of our region,” said Gasfield Free spokesperson Elly Bird.

“This government has already renewed Metgasco’s most active CSG licence areas (PELs 13 and 16), as well as the largest licence area in the region (Igas’s PEL 445), which covers Lismore, Nimbin and Kyogle and parts of the water supply area of major towns across the region, including Ballina and Byron Bay.”

“This is a cynical and tokenistic attempt by the Liberal-National government to look like they are doing something on this issue when they could have acted decisively long ago by refusing to renew the Metgasco and Igas licences that were quietly renewed despite repeated calls from the community for their cancellation.”

“The communities of this region are not stupid and will not be deceived by this latest gimmick from the government. They are angry that our local Nationals MP’s have the audacity to repeatedly ignore the community’s wishes over many years only to mock them with token actions at election time,” she said.

MEDIA RELEASE

Janet Cavanaugh
Greens Candidate for Clarence
m. 0429 479 968; e. clarence@nsw.greens.org.au
www.nsw.greens.org.au/clarence

9 March 2015

PEL CANCELLATION TOO LITTLE TOO LATE

The Greens have criticised the Government’s announcement that two Petroleum Exploration Licences (PELs) held by Clarence Moreton Resources Pty Ltd will be cancelled.

Greens candidate for Clarence, Janet Cavanaugh said:

“Today’s announcement is too little, too late. It is merely tinkering around the edges.

“The timing is just cynical electioneering. Both PELs expired in 2012 and could have been cancelled at any time.

“I am concerned that the Government is wasting taxpayers money on this electioneering stunt. Under the Petroleum Onshore Act*, no compensation is payable for the cancellation or suspension of exploration licences.

“Why is the Government paying off their mates in the mining industry?

“There can be no basis for compensation, particularly if there has been insufficient investment in exploration works in the licence area or any other breaches of licence conditions. The Clarence Alliance Against CSG is not aware of any onground works in PEL478.

“In PEL479, there have been substantial complaints about the drilling of the Annvale Borehole in 2011,” she said.

Greens spokesperson on mining, Jeremy Buckingham MP said:

“The Greens are not impressed by the cancellation of these PELs. “We would have been more impressed if Metgasco's PEL426 had been cancelled. It expired more than 12 months ago and should also be cancelled.

“PEL426 is the PEL with the Glenugie drill site. Metgasco’s attempts to drill here were met by concerted community action and a lengthy blockade. Drilling only proceeded after the
riot squad was brought in, at great expense to taxpayers.

“The Greens are the only party to have a position of being totally opposed to all unconventional gas mining and exploration in NSW - that's coal seam gas, tight sands
gas and shale gas. It just isn't worth the risk to our land and water,” he said.

* Section 22(5) of the NSW Petroleum Onshore Act 1991 states:
“No compensation is payable by the Crown for or in respect of the cancellation of, or a suspension of operations under, a petroleum title.”

MEDIA RELEASE
Meet the Candidates at Dundurrabin
The Blicks River Guardians invite you to attend an afternoon tea with NSW election candidates at Dundurrabin Community Centre, 4pm on Sunday 15th March.  This event, on the beautiful Dorrigo Plateau, provides a great opportunity for you to come and meet the candidates from both the Oxley and Clarence electorates.  There will be time for Q & A about the issues that are important to you and following at 6pm will be a community dinner (bring a plate to share) and a fundraiser for the Blicks River Guardians with local musician and songwriter Noam Blat.
Mineral exploration on the Dorrigo Plateau and across the New England fold belt has increased in recent years.  The Clarence catchment has a number of active exploration leases for gold, antimony and other minerals, with Anchor Resources prospecting near the Blicks River at Dundurrabin and at Wild Cattle Creek near Dorrigo.  Also on the Clarence,  Australia United Mining (Altius) is exploring for gold in the Orara Valley near Coffs Harbour.  The Hillgrove mine in the Macleay catchment has plans to reopen with a proposal for a second mine awaiting approval.  Other large gold and mineral exploration leases are active at Uralla and Armidale.
The increase in mineral exploration above coastal water catchments across our region concerns local residents.
“Some of this exploration is being supported with taxpayers money by the state government, despite the list of contamination events that have polluted regional waterways in recent decades,” said Blicks River Guardians’ spokesperson Meredith Stanton, “Major rainfall events have led to heavy metal contamination polluting the Clarence River at Timbarra in 2001, the Macleay River at Bellbrook in 2009 and at North Parkes a gold and copper mine spill killed birds in 1995.  There are many more documented examples across NSW and more than 500 derelict mine sites that companies have walked away from leaving a legacy for NSW taxpayers.”
The Blicks River Guardians consider mining to be an inappropriate land use on the Dorrigo Plateau and aim to protect our high rainfall area from future mining development.  Local communities rely heavily on tourism and the local agricultural industry.  The risks that an open cut mine would bring to our catchments are not worth the few jobs that might be available to local people if mining development were to be approved. 
BRG will be asking the NSW election candidates where they stand on mining in our water catchments.  To learn more about BRG visit www.blicksriverguardians.org.
To ask the candidates about important local issues come along to the public event at:
Dundurrabin Community Centre,  Armidale-Grafton Road,  Dundurrabin.
Date:  Sunday 15th March 2015
4 - 6pm - Meet the Candidates.  Afternoon tea provided
6 - 7pm - Dinner.  Bring a plate to share.
7 - 9pm - Music. Noam Blat 
For event information call  02 6657 8040.

BACKGROUND

Tuesday 3 March 2015

"We want a gasfield ban, not a gas plan!"


Letter to the Editor in The Daily Examiner, 27 February 2015:

Election and gasfield
The State Election is fast approaching. On March 28 we go to the polls again to cast our vote to decide who will run the State of NSW for the next four years.
In the Northern Rivers, the biggest political issue over the past four years has been the threat of industrialisation and destructive and polluting activities which inevitably accompany invasive gasfields.
We have fought to save our region - at Glenugie and Doubtful Creek and then at Bentley. The famous Bentley Blockade resulted in the suspension of Metgasco's exploration licence which was to allow drilling to a depth of 2.1km through the soils, rocks and aquifers of this beautiful and productive valley, so typical of the Northern Rivers.
It was the pressure exerted by the community on the NSW Liberal National Government which caused them to suspend activity. It was not an act of benevolence on the part of the NSW Government- without people-power the drilling rig would have moved in.
Over 95% of people in the Northern Rivers do not want to live in a gasfield. Tourism and primary industries in our region will suffer irreparable damage and our properties will become devalued and unsalable - who would buy a house in or near a gasfield?
Now is our chance once again to have our voices heard loud and clear - in NSW we have a system of Optional Preferential voting.
Under this system, numbering one box is permitted. However, there is a very good reason why this is not a good choice. If you do number only one box and your choice of candidate does not receive 50% + one of the total votes in the first count, your vote is "exhausted'" and you have, in effect, wasted your vote.
To ensure that your vote counts, you must number every box.
You do not have to follow the how to vote card of any political party or independent candidate.
You are the one who is allocating preferences. Your preferences are the ones that matter.
Who you vote for on election day is, of course, your personal choice. However, to vote for a gasfield-free Northern Rivers, you will need to give your LAST preference to the party who is least supportive of the community's clearly expressed wishes to remain gasfield free.
We want a gasfield ban, not a gas plan!
Rosemary Joseph

Tuesday 20 January 2015

That not-so-stellar progress of the Australian gas industry


The Australian 14 January 2015:

PLUNGING  prices for liquid natural gas are dashing state and federal expectations of a revenue bonanza from the country’s massive new gas projects, with at least $2 billion being stripped from tax and royalty forecasts.
The seven giant projects being built at a combined cost of about $200bn represent the largest capital investments made in ­Australia and are still expected to be financially viable.
But as prices tumble, the ­industry’s export revenue could be as much as $20bn a year lower than was expected a year ago.
The mid-year budget update released just before Christmas had factored in the oil price falling by a third, with the drop feeding through to LNG prices. The fall has surpassed 50 per cent.….
From a sovereign risk perspective, it is essential that these projects continue to be able to service the foreign debts that have largely financed their construction. Industry analysts believe the projects will still be able to cover their operating and financing costs at current prices, but they believe they would not have been built if current ­prices had prevailed when they came before boards for approval.
“If you knew then what you know now, some may not have proceeded because the rate of ­return on our estimates are below what we think is needed to justify going ahead, but when you’re half-way through the construction, you’re also half-way through the money and there’s no going back,” UBS energy analyst Nik Burns said.
The recent round of state and federal budget updates downgraded estimates of royalty and resource tax revenue from the gas industry, to reflect the weaker price outlook, but prices have fallen a lot further since budgets were ruled off before Christmas…..

For the very junior cowboys in the coal seam gas section of the industry this is not good news.

Some, like Metgasco Limited, are already facing strong headwinds and share price continues to reflect this.

Three month chart ordinary shares sold on the Australian Stock Market (ASX)


Twelve month chart ordinary shares sold on the Australian Stock Market (ASX)


Ten year monthly average ordinary shares sold on the Australian Stock Market (ASX)


Thursday 15 January 2015

The Goings On In Gloucester OR The Case Of The Coal Seam Gas Fracking Flowback Water


This little tale, told in excerpts from news articles and media releases, illustrates how changing a sum of money from a "penalty" to a "tradewaste charge" gave unpopular coal seam gas miner AGL Energy an excuse to deny that it had been involved (through its waste water treatment contractor Transpacific Industries) in dumping coal seam gas waste water into a Hunter Water Corporation sewer system.

What this change in wording did not do was stop its contractor from refusing to take any more AGL waste water from its Gloucester coal seam gas project in the foreseeable future.

Newcastle Herald 9 March 2014:

HUNTER Water has refused to dispose of waste water from AGL's Gloucester coal seam gas project because of concerns about chemical contamination.
AGL, which is yet to receive final state-government approval to frack four pilot wells, approached Hunter Water last year about transporting waste water from the site to a treatment plant.
But Hunter Water has told AGL that the waste water produced from hydraulic fracking would not meet its criteria for tankered waste water.
''Hunter Water's waste water works are designed and licensed for the treatment of human effluent,'' its letter to AGL states.
''Waste water (flow-back water) from hydraulic fracturing has the potential to adversely impact the waste water treatment process and therefore Hunter Water's ability to meet its environment protection licence conditions.''
Hunter Water's manager of government and media relations Jeremy Bath said the utility was specifically concerned about chemical additives likely to be in the waste water.
Waste water produced from coal seam gas extraction often contains a range of fracking and drilling chemicals and heavy metals including arsenic, mercury, lead and cadmium. It is also typically highly saline.
It was revealed on Saturday  that energy company Santos was fined $1500 after 
contaminated waste water  seeped  from a holding pond at its Pilliga forest project near Narrabri into an aquifer.
As a result the aquifer had increased concentrations of  lead, aluminium, arsenic, barium, boron, nickel and uranium.
An AGL spokeswoman said the company would dispose of waste water from the Gloucester project at an appropriate licensed facility, in accordance with its assessment of environmental impacts.

Gloucester Advocate 12 August 2014:

GLOUCESTER Shire Council has called on the State government to retrospectively introduce a 2km setback for coal seam gas wells in the valley following the decision to approve AGL’s Waukivory Pilot Program.
Resources Minister Anthony Roberts approved AGL’s plans to frack four coal seam gas wells at Gloucester last Wednesday, along with a renewal of AGL’s Gloucester Petroleum Exploration Licence (PEL) 285 for six years.
Council said it was ‘frustrated and angry’ the Minister had renewed the licence and approved fracking in the valley.
It called on the State to follow the science and not allow fracking until the federal government’s bioregional assessment, AGL’s numerical model to enable assessment of water impacts and council’s water study coordination report were complete.
 “Council acknowledges that the Waukivory Pilot is part of AGL’s research program, but has not been given compelling reasons as to why the test wells need to be located where now proposed,” deputy mayor Frank Hooke said.

Newcastle Herald 31 October 2014:

MIDCOAST Water "strongly oppose" AGL's plan to release recycled water from its Gloucester coal seam gas project into the area's waterways.
AGL's draft water management policy proposes releasing water used during coal seam gas drilling into nearby river systems when wet weather makes irrigation impossible.
The company said its preferred method of management is irrigation, and the discharges of desalinated water would only be made "during periods of high rainfall".
It said the water would only represent "a very small addition, less than 1 per cent, to the average annual flow of the Avon River of approximately 110,000 million litres".
But in a submission to AGL's draft water management strategy for the Gloucester gas project, Midcoast Water states it does not support the company's plans.
"We believe the proposed scheme will be very complex with a number of risks associated with its operation," general manager Robert Loadsman said.
"We strongly oppose the idea of using waterways as transportation routes for recycled water - such water has to be transported by pipelines."
MidCoast Water is also calling for a comprehensive risk assessment to be undertaken and contingency measures designed as part of any extracted water management scheme.
It said the water monitoring plan proposed by AGL was "highly inadequate".

Newcastle Herald 18 December 2014:

POTENTIALLY contaminated wastewater used to frack AGL's Gloucester coal seam gas project has been dumped unlawfully into the Hunter's sewer system by the private company hired to treat it.
Transpacific, one of the nation's largest wastewater management firms, has been fined $30,000 by Hunter Water for releasing treated "flow-back" fluid from the gas project into the region's sewer network.
It comes after AGL and Transpacific were both explicitly warned by the water regulator that releasing the flow-back fluid was a breach of its wastewater criteria.
Hunter Water asked Transpacific for a please explain after the Newcastle Herald revealed on Thursday that it was the company treating flow-back water for AGL.
Both AGL and Transpacific had refused to state what was happening to the water once it was treated, but when approached by Hunter Water, the company admitted to dumping the water into the sewer network…..
In a statement to the Herald, Hunter Water said it was "extremely disappointed" by AGL's "seeming inability to control flow-back water originating from its CSG mine".
"AGL has also previously committed to having measures in place to ensure that waste management companies would not attempt to discharge flow-back water into the Hunter Water sewer system," chief customer services officer Jeremy Bath said.

ABC News 18 December 2014:

There are renewed concerns over a coal seam gas fracking operation in the Hunter Valley, after a contractor was fined for dumping wastewater into Newcastle's sewer system.
AGL recently completed fracking at four CSG test wells just outside Gloucester, but has been vague on the detail of what would happen to the flow-back water from the operation.
Hunter Water says in October it refused an application from waste contractor, Transpacific to discharge treated flow-back water from the AGL site.
But it says it recently became aware that Transpacific had discharged a prohibited substance into the sewer system from its treatment site on Newcastle's Kooragang Island.
The company has since been penalised $30,000 and warned that any further breaches would result in the termination of its commercial agreement with Hunter Water.
Community group, Groundswell Gloucester says it is outrageous and AGL's licence should be suspended.
  
AGL 19 December 2014:

At our Gloucester Gas Project, as with all our operations, AGL's Upstream Gas team places the highest priority on meeting our environmental and community engagement obligations. 
So, it was deeply disappointing to read the Newcastle Herald's report yesterday (19 December) which wrongly claimed that "fracking wastewater" was being "dumped" in Hunter Water's sewers.
The story went on to claim this was being done 'unlawfully' and that our trade waste contractor Transpacific had been "fined" $30,000.
These incorrect claims unfortunately have caused concern and once again our project, where we are meeting the highest environmental and regulatory standards, has been tarred by misinformation.
Not one drop of untreated flowback water has gone to Hunter Water from the recent operations at Gloucester by AGL or our contractor, Transpacific, as far as AGL is aware. 

AGL 5 January 2015:

Recently you may have seen news reports raising concerns about AGL Energy Limited's (AGL) arrangements for the proper disposal of flowback water from our Waukivory Pilot at the Gloucester Gas Project.
We understand your concern for the safety of local water resources and we take our responsibility to protect water very seriously. So, please allow me a few moments of your time to set the record straight.
The water in question, 'flowback' water, is retrieved from a gas well after being used in the hydraulic fracturing of a coal seam. It is mostly water, with some sand and very small amounts of highly diluted additives from our hydraulic fracturing fluid. The quality of this water is monitored frequently and the monitoring results are reported to the NSW Environment Protection Authority (EPA) and published on our website.
AGL is required to transport this flowback water to an appropriately licensed facility. After reviewing our options, AGL engaged Transpacific to lawfully treat and dispose of this water under its licence with the EPA for wastewater treatment and disposal.
The Transpacific facility is the closest wastewater treatment provider to the Waukivory Pilot, which means that traffic movements and distances are minimised.
As far as AGL is aware, there is no justification for claims that AGL's flowback water was inappropriately disposed of and we are now providing details of these arrangements to the EPA for review.
It's also important to understand that there was no "$30,000 fine" involved. It is our understanding that Transpacific was being levied a trade waste charge under the normal terms of its trade wastewater agreement with Hunter Water.
Transpacific has advised us that it has suspended taking our flowback water while it is clarifying operational issues with Hunter Water. We have engaged Worth Recycling, a Sydney-based resource recovery and waste treatment company. Worth Recycling, which has Environment Protection Licences with the EPA, will transport and treat AGL's water and then recycle it for industrial purposes.
I would like to assure you that at no stage has flowback water been "dumped" into the Hunter Water sewerage system. Rather, it has been treated at a facility licensed by the EPA, and as far as AGL is aware, lawfully disposed of.
Finally, I assure you that all of our actions in relation to the Waukivory Pilot Program have been, and will continue to be, undertaken in accordance with our approvals and with the highest respect for the community and the environment. For further information please visit our online community, www.yoursayagl.com.au.

Newcastle Herald 5 January 2015:

In a full-page advertisement in today's Herald, AGL states there was no $30,000 fine issued.
In its initial statement to the Herald, Hunter Water said it had issued a $30,000 ''penalty'' and then re-worded that to call it a ''tradewaste charge''.

ABC News 8 January 2014:

Hunter Water imposed a $30,000 charge on AGL's contractor Transpacific for accepting the wastewater from the four CSG test wells without its approval.
Transpacific has been warned that any further breaches would result in the termination of its commercial agreement with Hunter Water.

According to the NSW Environmental Protection Authority (EPA), Transpacific Industries Pty Ltd was issued with four penalty notices in 2014 for contravention of licence conditions at its Homebush NSW liquid treatment plant and, in 2013 AGL Upstream Investments Pty Limited was issued with three penalty notices for contravention of licence conditions at its Menangle NSW gas plant.

One suspects that the EPA may become rather interested in the goings on in Gloucester in the coming year.

Many Northern Rivers residents are watching AGL Energy with interest - seeing its inability to effectively deal with pollution risks as a problem Metgasco Limited would also fail to deal with should the Baird Government allow it to continue exploration and/or grant it a production licence on the NSW North Coast.

Sunday 14 December 2014

So what has former Howard Government Minister Peter Reith been doing since he was exposed as lobbyist for the gas industry


When No Fibs reported this on 1 November 2013 it probably surprised very few people:

It was interesting to see the opinion piece written by Peter Reith for The Drum – Fracking scare campaigns threaten our prosperity – especially considering Reith is a paid political lobbyist and chairman of the Victorian Government’s task force on the eastern gas market.
“The public debate is soon mired in myriad false claims, partly because government has not ensured the public is fairly informed and because some activists have other political agendas,” writes Reith.
To ensure that the public is fairly informed, and agendas and vested interests are properly tabled, it should be noted that Peter Reith is a lobbyist for First State Advisors and Consultants Pty Ltd.
Who does First State Advisers lobby for?           
A full list of Reith’s clients is published on the government website.
Two major players in the coal seam gas industry are Reith’s clients: Thiess and the NSW Aboriginal Land Council.
Thiess has won a $1.8 billion contract from CSG producer QGC for the construction of gas compression facilities in Queensland’s Surat Basin.
Another of Reith’s lobbying clients, the NSW Aboriginal Land Council has applied to explore for coal seam gas beneath 40 per cent of the state, sparking outrage from indigenous and non-indigenous people alike….

It made the Gas Market Task Force final report predictable in its pro-unconventional gas conclusion:

Overall, the Taskforce considers that governments and industry should take collective action and adopt a greater sense of urgency to ensure the eastern gas market can adapt and take advantage of the significant structural changes occurring.

The focus of the Taskforce’s proposals for immediate action include facilitating new gas supplies and making the most of the sizeable gas resources available in eastern Australia. The Taskforce also supports a greater coordinated effort to implement existing national gas market reforms.

Potentially, a more ambitious package of integrated gas market reforms with the objective of increasing competition, liquidity and transparency in the eastern market could build on the existing national gas market reforms, but this requires more work and rigorous cost benefit analysis.

Finally, as unconventional gas makes an increasingly significant contribution to eastern market gas supply, strong leadership and community engagement is required. This will help to build confidence in the gas industry, which is becoming a leading national economic opportunity for Australia over the coming decades.

So what has Peter Keaston Reith arch-lobbyist been up to since then?

Well, he appears to no longer be a listed special counsel for First State Advisors and Consultants at federal or states level.

However, he remains a lobbyist for Bechtel Management Company Ltd, a company which has been on his client list at least since the time he headed the Victorian task force.

Bechtel Management Company Ltd is a civil engineering/construction subsidiary of the Bechtel Corporation which has coal, oil and gas projects around the world. Including in the Pilbara region of West Australia and the Gladstone region in Queensland. 

The parent company claims its Curtis Island LNG project off the Gladstone coast; represents the greatest concentration of Bechtel projects anywhere in the world.

In its 2012 annual report Bechtel explained that; On Curtis Island, in eastern Australia, we are building three world-scale plants to process the region’s vast coal seam gas reserves.

Bechtel Corporation though the Bechtel Power Corporation is also a member of the UK Nuclear Industry Association.

Reith continues to talk up ‘natural’ gas and remains misleading about his relationship with the industry, as his 25 February 2015 article in The Sydney Morning Herald reveals:

I became interested in natural gas at the request of the Victorian government, which was concerned at the impact of gas sales to China and its implications for the eastern Australia gas market. The massive developments in Queensland are already imposing transitional effects. There is a real prospect Sydney could suffer gas shortages causing major dislocation to business. Gas prices are already rising and it could take at least three years to supply additional gas to Sydney if everything goes well and if the government holds its nerve.

Wednesday 10 December 2014

So who really owns coal seam gas exploration tenement PEL 445 recently renewed by the NSW Baird Government in the face of regional opposition?


Dart Energy (Bruxner) Pty Ltd registered in Brisbane, Queensland, in February 2013 has successfully applied to have its coal seam gas exploration licence PEL 445 renewed for a further six years by the NSW Coalition Government.


According to the minister; Dart Energy is only permitted to undertake low impact exploration activities including data review, mapping and technical evaluation. Any other activities require further approvals and are subject to the Government’s strict new conditions and regulations.

As required by legislation the company had to relinquish 25 per cent of its original tenement (choosing sections which contained no identified commercially viable gas deposits) when applying for the licence renewal and this is the amended 5,868 sq km exploration lease:


The Dart Energy group was spun off from Arrow Energy Pty Ltd in 2010, when that company was taken over by Royal Dutch Shell and PetroChina. Most of Dart Energy’s current management team was originally with Arrow Energy.

Dart Energy acquired PEL 445 then covering approximately 7,100 sq km centred about 39 km WNW of Lismore (containing 15 wells) from Arrow Energy in 2013.

On 12 May 2014 The Sydney Morning Herald reported:

Dart Energy has abandoned hopes of emerging as a global player in non-conventional gas, agreeing to a scrip merger from a UK operator that will see it dump all its non-UK assets.
Dart has agreed to merge with IGas Energy, which is listed on London's secondary AIM market, via a scheme of arrangement.
Dart shareholders will receive 0.08117 IGas shares for each Dart share held, which values Dart shares at just 18.98¢ and the entire company at $211.5 million.
Dart shares last traded at 12.5¢, a far cry from their levels above $1 three and four years ago.
Agreeing to the merger will see longstanding Dart shareholders lose out following a series of changes of strategy as the group has floundered in recent years.
Its most recent raising of $20.7 million at 9¢ will see shareholders who took up that offer last September come out in front, although its 2011 raising of $100 million at 75¢ a share has left shareholders with bruising losses.
Soul Pattinson's New Hope Corp has a 16.3 per cent stake in Dart and has backed the merger proposal in the absence of a rival offer emerging, as have shareholders with a further 14 per cent of Dart's capital.
Dart has sought to undertake a series of changes over the past few years to put its operations on a viable footing, which included listing offshore assets in Singapore and, after that failed, seeking a listing in London, which now has been abandoned.
Dart was spun out from Arrow Energy in 2010, when Arrow was bought by Shell. Dart took the offshore assets of Arrow, which it bolstered by acquiring Apollo Gas, giving it a suite of domestic assets. But the company has struggled, making limited progress in developing its extensive asset portfolio despite high gas prices.
It recently booked $43.5 million of impairment charges, mostly relating to the writing down of assets in NSW and the UK. It also has sold some offshore assets, such as in India.

In October 2014 IGas Energy announced:

As part of the October 2014 acquisition of Dart Energy, the Group holds a number of Coal Bed Methane (CBM) exploration licences across Australia, Indonesia, India and Germany.
IGas will continue to progress Dart’s previously announced divestment plan. IGas will Operate non UK assets where it is contractually obliged to do so…..
In Australia we hold our licences under a care and maintenance basis.
We currently hold seven petroleum exploration licences all located in the state of New South Wales.

PEL 445 is one of those exploration licences.

IGas Energy Plc is a leading British oil and gas explorer and developer, producing approximately 3,000 barrels of oil and gas a day from over 100 sites across the U.K. IGas assets are predominantly 100% owned and operated by this corporation

The only reasonable conclusion to be drawn from the NSW Baird Government’s renewal of the exploration title PEL 445, is that the application made through IGas subsidiary Dart Energy (Bruxner) Pty Ltd sought to increase the value of this asset ahead of any sell-on of the title.

Therefore, the assurances given by the NSW Minister for Resources and Energy as to the character of the nominal owner of PEL 445 are as ephemeral as a burning sheet of paper.

Gasfield Free Northern Rivers has echoed the sentiments of many communities across the Northern Rivers, from the NSW-QLD border down to the Clarence Valley:

Gasfield Free Northern Rivers has welcomed Dart’s surrender of twenty five per cent of PEL 445, which it says ‘covers the Ballina electorate’.
But it describes the move as, ‘only a small step in protecting our area from the practice of invasive and dangerous unconventional gas extraction’.
‘This is only a part relinquishment and a very large area of PEL445 and the rest of the Northern Rivers remains open to unconventional gas exploration and fracking,’ said Gasfield Free spokesperson Dean Draper
‘It’s crucial our region’s water supplies and our agriculture and tourism industries are protected. Our community is calling for a full cancellation of the entire PEL 445 and all of the petroleum Exploration Licenses in the northern rivers.’
‘We need to have certainty in protection, until all of the licenses are cancelled the future of our regions clean and green image remains at risk.’ he said
‘It seems this announcement by minister Roberts is motivated by the fact that the Ballina electorate is considered a vulnerable seat by the NSW government in the lead-up to the NSW election.
‘However, the impacts of invasive gasfields stretch across electorate boundaries, and our community will not rest until the entire northern rivers receives the protection it deserves.’ Mr Draper said.