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Aboriginal owners okay oil plan

Traditional Aboriginal owners in central Australia have okayed an oil exploration project of potentially international significance.

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2 min read

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Source: SBS


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Traditional Aboriginal owners in central Australia have given the go ahead for an oil exploration project of potentially international significance.

Oil was accidentally discovered in the region decades ago, but world prices collapsed and it remained untapped, until dwindling global supplies have sparked renewed interest

Experts say it has the capacity to be a very large resource that may provide yield up to a billion barrels.

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Indonesian-owned resources company Ahava Energy has begun drilling on the Anangu Pitjantjatjara Yankunytjatjara lands and could begin production within months.

As speculation continues over the quantity and quality of oil, attention is also turning to the region's other riches.

"There's probably other minerals that are possibly contained there, perhaps gas or coal as other energy reserves so there's a great deal of exploration and it's very little explored, very few times has it been drilled particularly in the Anangu Pitjantjatjara Yankunytjatjara lands," mining tenement officer McWilliams told SBS.

Indigenous groups who are the traditional owners of the APY lands say they want to ensure locals get training and jobs, and that royalties are used to generate long term income instead of being squandered.

Petroleum in SA attracts a ten percent royalty, two thirds for the state government and one third to APY.

Anangu will have access to earnings on up to 5,000 barrels a day - income beyond that will be held in trust until communities can agree on priorities.

Traditional owners will gather at the site for a thanksgiving service on Tuesday.


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