Australia court rejects Santos bid to resume Barossa gas drilling

Justice Debra Mortimer said the court ordered that the appeal be dismissed, following an expedited two-day hearing in November stemming from a challenge against the drilling approval brought by some traditional owners from the Tiwi Islands. Santos had to suspend drilling on the project in the Timor Sea in September after a judge found that the environmental approval for its permit was invalid on the grounds the company had not properly consulted with some traditional owners about the project.

Australia's Federal Court rejected on Friday an appeal by Santos Ltd to resume drilling on its $3.6 billion Barossa gas project off northern Australia, dealing another setback to the company's biggest project. Justice Debra Mortimer said the court ordered that the appeal be dismissed, following an expedited two-day hearing in November stemming from a challenge against the drilling approval brought by some traditional owners from the Tiwi Islands.

Santos had to suspend drilling on the project in the Timor Sea in September after a judge found that the environmental approval for its permit was invalid on the grounds the company had not properly consulted with some traditional owners about the project. The court backed a challenge led by Tiwi Islander Dennis Tipakalippa, overturning approval by the National Offshore Petroleum Safety and Environmental Management Authority (NOPSEMA) for drilling on the Barossa project.