Northern Territory Begins Commercial Shale Gas Production in Beetaloo Basin

The Northern Territory Government and Tamboran Resources began commercial shale gas production in the Beetaloo Basin on September 1, 2026. This milestone marks the first commercial monetization of the basin, with gas from the Shenandoah South project flowing into the regional network via the newly commissioned 37-kilometer Sturt Plateau Pipeline.

Chief Minister Lia Finocchiaro inaugurated the project, which follows the lifting of a 2016 fracking moratorium. The government has secured long-term, fixed-rate contracts for approximately 40 terajoules per day to replace expensive emergency energy arrangements and lower costs for local residents and businesses. Officials forecast the basin will generate over A$17 billion in economic value over the next 20 years and intend to use the fuel to support a growing wave of AI data centers.

While the government describes the basin as a world-class resource containing an estimated 430 trillion cubic feet of gas, the project faces significant opposition. The Australian Conservation Foundation warned the project could be the most destructive and irresponsible gas project ever proposed in Australia, citing concerns over water resources and the use of hydraulic fracturing.