Tamboran and NT government's secretive Beetaloo Basin gas deal criticised by industry, experts

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Gas News

Tamboran,Nt Government,Northern Territory Government

The NT government's decision to ink a major gas contract without an open tender process, and refusing to disclose the cost to taxpayers, draws criticism from both industry and experts. But the chief minister says 'this is the way negotiations happen'.

industry representatives and analysts are questioning why a major gas supply contract between the NT government and Tamboran Resources was not put out to a competitive tender.Tamboran's plans in the Beetaloo are still waiting on a final investment decision and approval from the NT's Environment Protection Authority.

Mr Devaney was surprised by the NT government's deal with Tamboran, which he speculated to be worth more than $1 billion. "Here we are, halfway through that period, and suddenly we're out of gas again — are we really going to repeat this mistake again?" Mr Quinn said.Mr Quinn is concerned by the lack of transparency surrounding the government's Tamboran deal, saying there should have been an open tender process and competitive bidding.

"It gives the impression they're paying too much, not interested in competition, that it's jobs for the boys, rather than transparent, open government where the best price and the best service is the one that's selected," he said. "To be striking an offtake agreement with a project that is unproven, undeveloped and unapproved … it's gobsmacking."She said the government would continue to have discussions with other operators, including Central Petroleum.

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