New gas field in waters near Twelve Apostles given green light

The gas field will be in waters near the Twelve Apostles, which attracts more than 2.8 million visitors per year. (ABC News: Jean Bell) The Victorian and federal governments have approved plans for a company to drill for offshore gas in waters near the Twelve Apostles. Amplitude Energy says the site, 9 kilometres from the shores of Port Campbell, will provide about 4 per cent of the Australian east coast's gas demand over a five-year period. Work is expected to begin next year, with gas produced from 2028. Link copiedShareShare articleThe Victorian and federal governments have approved plans to build a new offshore gas field in waters near world-famous tourist destination the Twelve Apostles. Australian energy company Amplitude Energy will start work next year on its Annie Gas Field Project, located about 9 kilometres off the shores of Peterborough and Port Campbell, with gas expected to be delivered from 2028. The ASX-listed company said it expected to produce gas supplies for up to five years, providing about 4 per cent of the Australian east coast's gas demand over that period. It comes as Victoria faces a looming gas supply shortfall as legacy supplies in the Bass Strait run out. The project will use existing infrastructure from the Casino-Henry-Netherby gas field in the Otway Basin. (Supplied: Amplitude Energy) The decision comes as the Victorian government works to transition households and businesses away from gas and onto electric supplies. Is Victoria really on track to run out of gas? Victorian Energy and Resources Minister Lily D'Ambrosio said the government had a plan to manage the energy transition "responsibly". "This approval unlocks more affordable, locally produced gas for Victorians, helping to secure supplies for the industries that still rely on gas," she said. The government said the project could provide energy for industries that were unable to switch to electric alternatives. Federal Resources Minister Madeleine King said the project was expected to provide gas exclusively for domestic use, which the government hoped would ease the risk of potential shortfalls. The federal government was also seeking nominations for new areas for offshore exploration in Tasmania and Victoria's Gippsland and Bass basins. The move is tipped to anger environmentalists who have successfully fought new drilling in waters along the south-west Victorian coast. The Victorian Greens have criticised the project, saying the government should not be approving fossil fuel projects that slow the energy transition. The Victorian government says the new project will begin feeding in gas supplies from 2028. (ABC News: Brendan Esposito) A spokesperson for Amplitude Energy said the project was subject to extensive community consultation, and that gas production had been operating in the region for more than 20 years, alongside tourism, agriculture, and other small industries. The spokesperson said the project would have little impact on the visual amenity of the area near the Twelve Apostles. "As the project's infrastructure is subsurface, it is not at all visible and therefore it will not include any visual impact on the area apart from the temporary drilling phase," the spokesperson said. The Australian Energy Market Operator (AEMO) has pushed back its peak-day gas shortfall forecast to 2029, with the regulator stating reduced gas consumption and increased peak-day supply had helped bolster supplies. In 2025, AEMO said investment in gas was still needed to avoid future shortfalls, a notion disputed by some energy analysts. It still estimated supplies would plummet, with Victoria's annual gas production due to fall by 52 per cent by 2030, while annual consumption would reduce by 10.5 per cent during the same time. The Victorian Chamber of Commerce and Industry has welcomed the Otway Basin project's approval, which it believes would support business confidence during the energy transition. Acting chief executive Amelia Bitsis said businesses were facing significant pressure around energy affordability and future supply. Other approved gas exploration projects in the Otway Basin have been controversial among coastal communities and environmental groups, who are concerned about the environmental impact, and dispute claims Victoria has a gas shortage. Copy linkFacebookX (formerly Twitter)PromotionTop Stories'Like paradise': Women and children with IS-links excited to return to AustraliaTopic:Defence and National Security

New gas field in waters near Twelve Apostles given green light

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