Hancock Energy, the resources division of Gina Rinehart's Hancock Prospecting, has taken a significant step forward with its proposed $850 million Belisama gas project located in Western Australia's Perth Basin.
Project Details and Strategic Importance
The company has formally submitted a Project Management Plan (PMP) to the state's Joint Development Assessment Unit (JDAU). This submission represents a critical phase in the planning process for the development, which is situated approximately 30 kilometres north of Dongara. The Belisama project is designed to be a domestic gas supply source, aiming to feed into the existing Dampier to Bunbury Natural Gas Pipeline (DBNGP) and help address local energy needs.
This move follows Hancock Energy's earlier acquisition of the project through its takeover of Warrego Energy. The proposed development plan includes the installation of a new unmanned platform in the WA-1-R licence area, connected by a subsea pipeline to the DBNGP. Initial production is targeted to commence in 2027, with an estimated field life extending for 15 years.
Navigating the State Development Assessment Process
The submission of the PMP triggers the formal State Development Assessment Unit (SDAU) review. This process will evaluate the project's planning, environmental, and social implications. A key aspect of the assessment will be the project's Public Environmental Review (PER), which is currently being finalised by Hancock Energy. Once completed, the PER will be released for a standard four-week public comment period, allowing for community and stakeholder input.
Hancock Energy has emphasised the project's alignment with state and federal priorities for new domestic gas supply. The company states that the Belisama development is strategically positioned to contribute to energy security in Western Australia's main grid, known as the South West Interconnected System (SWIS).
Market Context and Future Outlook
The advancement of the Belisama project occurs amidst a broader context of high demand for gas in the WA market. Other major players, like Woodside Energy, are also progressing their own domestic gas projects in the region. The successful development of Belisama would see Hancock Energy become a more substantial player in the domestic energy sector, building on its existing portfolio.
The next several months will be crucial as the SDAU review progresses and the public consultation on the environmental findings begins. The outcome of this regulatory process will determine the project's timeline and its final path to a final investment decision (FID) for the $850 million development.
If approved, the Belisama gas project promises to deliver significant economic benefits through job creation during construction and operation, while bolstering the state's long-term energy reserves. All eyes are now on the state's assessment unit as it reviews the detailed plans for this major resource development.
