Recognising the potential value of South Australia’s vast, prospective unconventional gas resources, the State Government in October 2010 initiated a consultative group (Roundtable for Unconventional Gas Projects in South Australia) to inform how unconventional gas projects could be undertaken sustainably and efficiently, considering the social, environmental and economic impacts and benefits. The group was tasked with developing a Roadmap for unconventional gas projects in South Australia. The resulting Roadmap provides timely, credible information to people, communities and markets, outlining potential risks and rewards associated with unconventional gas projects. It sets the course for the environmentally sustainable development and encourages safe exploration and production under the Petroleum and Geothermal Energy Act 2000. The Roadmap helps to ensure people and enterprises potentially affected by unconventional gas projects understand the regulatory framework, the transparent environmental assessment processes; and how they will be consulted, so their rights to object in part or in full are supported. The Roadmap transparently lays out the factors that will be taken into account when considering whether or not to approve unconventional gas projects, ensuring compatibility with co-existing natural, social and economic environments. It also sets out the priority matters for attention. The Roundtable’s 125 recommendations cover the life cycle of unconventional gas projects - from exploration to production and possible liquefied natural gas exports, as well as related supply chains and infrastructure matters.

The right geology, together with policy innovation and excellent investment frameworks are reasons why South Australia is leading oil and gas transformation in Australia. South Australia is widely regarded as having one of the country’s most effective upstream petroleum frameworks. It offers a supportive investment framework, a trusted regulatory framework, benefits from pre-existing infrastructure, and is a jurisdiction focused on increasing capabilities and productivity. This is reflected in results of the 9th Fraser Institute Global Petroleum Survey, released in December 2015 which rated SA as the best performing jurisdiction in the nation. For the first time, SA topped the world for Fiscal Terms – over the last 2 years Petroleum Retention License fees have been reduced by 25% and it is intended to further decrease these fees in future. South Australia is the first Australian jurisdiction to deliver a comprehensive approach to developing its vast gas resource plays. The Roadmap for unconventional gas projects in South Australia was released in December 2012 and is designed to inform industry strategies, government policies, and regulations to facilitate oil and gas projects in ways that SA communities welcome. Work to implement the Roadmap continues through the Roundtable for Oil and Gas and its 8 working groups established to address the most critical recommendations. The Cooper Basin remains the nation’s largest onshore oil and gas producer and record levels of drilling occurred in 2013-14. While the current low oil price has impacted company exploration programs, the western flank oil play trend and a variety of gas plays (conventional, as well as shale gas, basin-centred gas and deep gas from coal source rock), continue to be explored and developed.

Holders of petroleum and geothermal tenements (updated quarterly).

This submission to the South Australian Parliament’s Natural Resource Committee (NRC) inquiry has been prepared by the Department of State Development with input from the Department of Environment, Water and Natural Resources, the Environment Protection Authority, Primary Industries and Regions SA, SA Health and SafeWork SA. These departments have a key regulatory role in managing the potential impacts from fracture stimulation (commonly referred to as “fracking”) activities. The report discusses potential risks of groundwater contamination, potential impacts on landscape and potential net economic outcomes to the South East region and to the rest of the state.

This monograph presents an integration and summary of all new data, and a consolidation of current concepts and ideas on the geological history, discovered fields and petroleum potential of the Otway Basin in South Australia. The Otway Basin comprises one of a series of Jurassic to Cretaceous basins with a Tertiary cover that occur along the southern coast of Australia and which were formed as a result of rifting between the Antarctic and Australian plates. It comprises sediments of Jurassic and Cretaceous age deposited in a rift to drift setting (Fig. 1.1. Its limits are generally defined by the extent of Mesozoic sediments which occur both on and offshore. It is overlain by the Tertiary Mount Gambier Embayment. The northern limit of the Otway Basin is defined by outcropping early Palaeozoic metamorphic and igneous rocks (the Padthaway Ridge) and sediments may occur up to 160 km offshore (Fig. 1.2). To the west, the basin passes into the Duntroon Basin, and in the east continues into Victoria. Offshore it is locally bound by a Palaeozoic outer-margin high or volcanics. Two major sedimentary sequences are targets for petroleum exploration in South Australia (Fig. 1.3). The Early Cretaceous sequence (Otway Supergroup) is known only from the northern area, where E–W and NW–SE trending halfgrabens (Robe, Penola, St Clair and Tantanoola Troughs) contain fluvial to lacustrine sediments that are proven gas reservoirs. The Late Cretaceous sequence (Sherbrook Group) occurs as a deltaic to deep-water wedge (up to 9 km thick) south of the Tartwaup Hinge Zone. Down-to-basin normal and listric faults run parallel to the present coast. South of the Tartwaup Hinge Zone Otway Supergroup sediments are presumed to occur below the Sherbrook Group, but they are too deep to be considered as potential reservoirs.

This monograph presents an integration and summary of all new data, and a consolidation of current concepts and ideas on the geological history, discovered fields and petroleum potential of the Eromanga Basin in South Australia. This is the second edition of the Petroleum geology of South Australia, Volume 2: Eromanga Basin publication that was first published in 1996 (see Alexander and Hibburt, 1996) and follows on from previous publications on the geology and petroleum potential of the basin (see O’Neil, 1989; Gravestock et al., 1986; Moore and Mount, 1982). This revision includes the addition of new information and data and the electronic format enables inclusion of a larger quantity of relevant images and diagrams. This publication aims to assist explorers further understand the petroleum geology of the Eromanga Basin and contribute to the search for oil and gas in the region. The Jurassic–Cretaceous Eromanga Basin covers an area of 1 000 000 km2 of central-eastern Australia, 360 000 km2 of which lie in South Australia (Fig. 1.1). In South Australia the basin unconformably overlies the Gawler Craton and the Neoproterozoic sedimentary succession of the Adelaide Rift Complex on its southern margin; the Cambro-Ordovician Warburton Basin and Carboniferous–Triassic Cooper Basin in the ’Cooper region’; and the Permo-Carboniferous Pedirka and Arckaringa basins and Triassic Simpson Basin in the ‘western region’ (Fig. 1.2). In Queensland it overlies the metasediments of the Cambro-Ordovician Thomson Fold Belt, the lateral equivalent to the Warburton Basin in South Australia, together with the deformed Devonian–Carboniferous Adavale Basin.

This monograph presents an integration and summary of all new data, and a consolidation of current concepts and ideas on the geological and structural history, sedimentary features and petroleum potential of the Officer Basin in South Australia. Many of these interpretations have not been previously published. In now so doing MESA aims to assist explorers in understanding the complex geology, and to fully realise the petroleum potential of the region. Notes: The first edition of this Volume includes: Morton, J.G.G., Ch. 1: Introduction and summary. O'Neil, B.J., Ch. 2: History of petroleum exploration. Dobrzinski, I., Ch. 3: Natural and cultural environment. Alexander, E.M. and Dodds, A.R., Ch. 4: Infrastructure and groundwater. Gravestock, D.I., Ch. 5: Geological setting and structural history. Morton, J.G.G., Ch. 6: Lithostratigraphy and environments of deposition. Gravestock, D.I., Morton, J.G.G. and Zang, W-L., Ch. 7: Biostratigraphy and correlation. Gravestock, D.I. and Morton, J.G.G., Ch. 8: Source rock distribution and quality. Gravestock, D.I. and Hill, A.J., Ch. 9: Petroleum maturation and migration. Sansome, A., Ch. 10: Reservoirs and seals. Gravestock, D.I. and Morton, J.G.G., Ch. 11: Potential traps and prospects. Alexander, E.M. and McDonough, R.C., Ch. 12: Exploration and production economics. Morton, J.G.G., Ch. 13: Undiscovered resources.

This monograph presents an integration and summary of all new data, and a consolidation of current concepts and ideas on the geological history, discovered fields and petroleum potential of the Cooper Basin in South Australia. Many of these interpretations have not been previously published. In now so doing MESA aims to assist prospective explorers in understanding the complex geology, and to fully realise the petroleum potential of the region. Notes: The first edition of this Volume includes: Alexander, E.M., Ch. 1: Introduction. O'Neil, B.J., Ch. 2: History of petroleum exploration and development. Dobrzinski, I., Ch. 3: Environment. McDonough, R.C.M., Ch. 4: Infrastructure. Gravestock, D.I. and Jensen-Schmidt, B., Ch. 5: Structural setting. Alexander, E.M., Gravestock, D.I., Cubitt, C. and Chaney, A., Ch. 6: Lithostratigraphy and environments of deposition. Gravestock, D.I., Ch. 7: Stratigraphic frameworks for correlation. Boreham, C.J. and Hill, A.J., Ch. 8: Source rock distribution and hydrocarbon geochemistry. Deighton, I. and Hill, A.J., Ch. 9: Thermal and burial history. Gravestock, D.I., Alexander, E.M., Morton, J.G.G. and Xiaowen Sun, Ch. 10: Reservoirs and seals. Frears, R.A., Ch. 11: Recovery technology. Gravestock, D.I., Jensen-Schmidt, B., Sansome, A., Frears, R.A. and Morton, J.G.G., Ch. 12: Field summaries. McDonough, R.C.M., Ch. 13: Economics of gas field developments. Morton, J.G.G., Ch. 14: Undiscovered petroleum resources.

In Progress

The compliance model or regulatory framework under the Petroleum and Geothermal Energy Act 2000 can be presented in the form of a compliance and enforcement pyramid adopted by DSD’s Energy Resources Division for monitoring and enforcing compliance. The pyramid details the series of steps and measures available to DSD for facilitating, monitoring and, where necessary, enforcing compliance. The pyramid structure illustrates the frequency of use and severity of measures moving from higher frequency and low severity at the base of the pyramid to low frequency and escalating severity towards the peak. To achieve the best outcomes DSD aims to maintain its regulatory activities at, ‘Step 1: Preventive measures’, shown as the base of the pyramid in Figure 1, which entails a compliant industry being guided or advised on measures required to maintain compliance. In cases where industry fails to adequately and appropriately respond to detected noncompliance, ‘Step 2: Persuasive measures’ is instigated. Only in extreme and exceptional cases would DSD expect to utilise Steps 3 and 4, ‘Compulsive’ and ‘Punitive’ measures, respectively, to enforce compliance and achieve acceptable environmental or administrative outcomes. In 2014: A total of 452 activity notifications covering various geophysical, drilling and production operations were submitted to and reviewed by the Department of State Development (DSD) in 2014 and, where required, assessed for compliance and approved by the Minister for Mineral Resources and Energy. Of these, 112 activity notifications related to high-level official surveillance. See Section 3.6 for details.

DMITRE's compliance and enforcement pyramid details a series of steps and measures available to DMITRE for facilitating, monitoring and, where necessary, enforcing compliance. DMITRE aims to maintain its regulatory activities at 'Step 1: Preventive measures', shown as the base of the pyramid in Figure 1. In cases where industry fails to adequately and appropriately respond to detected noncompliance, 'Step 2: Persuasive measures' is instigated. Only in extreme and exceptional cases would DMITRE expect to utilise Steps 3 and 4, 'Compulsive' and 'Punitive' measures, respectively, to enforce compliance and achieve acceptable environmental or administrative outcomes. In 2013: During 2013 two new statements of environmental objectives (SEOs) were gazetted, six SEOs were revised and gazetted, and the review process for three SEOs commenced. Of the six SEOs that were reviewed, of particular interest was the review undertaken by Beach Energy of existing SEOs for drilling activities in the Otway Basin. See Section 3.2 for details.

DMITRE's compliance and enforcement pyramid details a series of steps and measures available to DMITRE for facilitating, monitoring and, where necessary, enforcing compliance. DMITRE aims to maintain its regulatory activities at 'Step 1: Preventive measures', shown as the base of the pyramid in Figure 1. In cases where industry fails to adequately and appropriately respond to detected noncompliance, 'Step 2: Persuasive measures' is instigated. Only in extreme and exceptional cases would DMITRE expect to utilise Steps 3 and 4, 'Compulsive' and 'Punitive' measures, respectively, to enforce compliance and achieve acceptable environmental or administrative outcomes. In 2012: Two new statements of environmental objectives (SEOs) were approved and gazetted and a further four commenced review and assessment in 2012. The new SEOs covered geophysical operations in the Cooper Basin (Santos) and fracture stimulation of deep shale gas and tight gas targets in the Nappamerri Trough (Beach Energy). SEOs for which the review process commenced in 2012 cover geophysical operations and exploration drilling activities. See Section 3.2 for details.

The pyramid details a series of steps and measures available to DMITRE for facilitating, monitoring and, where necessary, enforcing compliance. DMITRE aims to maintain its regulatory activities at 'Step 1: Preventive measures', shown as the base of the pyramid in Figure 1. In cases where industry fails to adequately and appropriately respond to detected noncompliance, 'Step 2: Persuasive measures' is instigated. Only in extreme and exceptional cases would DMITRE expect to utilise Steps 3 and 4, 'Compulsive' and 'Punitive' measures, respectively, to enforce compliance and achieve acceptable environmental or administrative outcomes. In 2011: Three new statements of environmental objectives were approved and gazetted and a further 3 were under review and assessment covering pipeline, production and geophysical field activities. See Section 3.2 of this report for further details.

Compliance of the industries regulated under the Petroleum and Geothermal Energy Act 2000 is presented in the context of the compliance and enforcement pyramid adopted by PIRSA for monitoring and enforcing compliance. The pyramid details a series of steps and measures available to PIRSA for facilitating, monitoring and, where necessary, enforcing compliance. PIRSA aims to maintain its regulatory activities at 'Step 1: Preventive measures', shown as the base of the pyramid in Figure 1. In cases where industry fails to adequately and appropriately respond to detected noncompliance, 'Step 2: Persuasive measures' is instigated. Only in extreme and exceptional cases would PIRSA expect to utilise Steps 3 and 4, 'Compulsive' and 'Punitive' measures, respectively, to enforce compliance and achieve acceptable environmental or administrative outcomes. In 2010: Two new statements of environmental objectives were approved and gazetted and a further 10 were under review and assessment covering drilling, pipeline and production activities.

Compliance of the industries regulated under the Petroleum and Geothermal Energy Act 2000 is presented in the context of the compliance and enforcement pyramid adopted by PIRSA for monitoring and enforcing compliance. The pyramid details a series of steps and measures available to PIRSA for facilitating, monitoring and, where necessary, enforcing compliance. PIRSA aims to maintain its regulatory activities at ?Step 1: Preventive measures?, shown as the base of the pyramid in Figure 1. In cases where industry fails to adequately and appropriately respond to detected noncompliance, ?Step 2: Persuasive measures? is instigated. Only in extreme and exceptional cases would PIRSA expect to utilise Steps 3 and 4, ?Compulsive? and ?Punitive? measures, respectively, to enforce compliance and achieve acceptable environmental or administrative outcomes. In 2009: The amended Petroleum and Geothermal Energy Act 2000 and associated Petroleum and Geothermal Energy Regulations 2000 were promulgated into effect on 1 October 2009.

he Petroleum Act 2000 covers all exploration and production activities for petroleum, gas storage and geothermal resources for onshore South Australia, as well as the technical regulation of gas transmission pipelines. In summary, the key objects of the Act include: providing security of tenure to licensees for the resources covered by the Petroleum Act; protecting the environment and public from the inherent risks associated with the activities undertaken to exploit these resources; and ensuring appropriate levels of security of natural gas supply are provided for. It is the pursuit of these objectives that drive the compliance and enforcement priorities of the Petroleum and Geothermal Group of PIRSA. This report covers the year 2008 and its purpose is to: outline PIRSA's regulatory activities in administering the Petroleum Act; and provide a summary of the regulatory performance of the industries covered by the Act.

The Petroleum Act 2000 covers all exploration and production activities for petroleum, gas storage and geothermal resources for onshore South Australia, as well as the technical regulation of gas transmission pipelines. In summary, the key objects of the Act include: providing security of tenure to licensees for the resources covered by the Petroleum Act; protecting the environment and public from the inherent risks associated with the activities undertaken to exploit these resources; and ensuring appropriate levels of security of natural gas supply are provided for. It is the pursuit of these objectives that drive the compliance and enforcement priorities of the Petroleum and Geothermal Group of PIRSA. This report covers the year 2007 and its purpose is to: outline PIRSA's regulatory activities in administering the Petroleum Act; and provide a summary of the regulatory performance of the industries covered by the Act.

The Petroleum Act 2000 covers all exploration and production activities for petroleum, gas storage and geothermal resources for onshore South Australia, as well as the technical regulation of gas transmission pipelines. In summary, the key objects of the Act include: providing security of tenure to licensees for the resources covered by the Petroleum Act; protecting the environment and public from the inherent risks associated with the activities undertaken to exploit these resources; and ensuring appropriate levels of security of natural gas supply are provided for. It is the pursuit of these objectives that drive the compliance and enforcement priorities of the Petroleum and Geothermal Group of PIRSA. This report covers the year 2006 and its purpose is to: outline PIRSA's regulatory activities in administering the Petroleum Act; and provide a summary of the regulatory performance of the industries covered by the Act.