Policy & Governance

WA environmental agency reviews Kimberley Rafael gas project, environmental groups warn it is a "Trojan horse" for fracking

Western Australia's Environmental Protection Authority is reviewing Buru Energy's Rafael conventional gas project in the Kimberley Canning Basin. Environmental groups, citing the company's history and its ASX statements, warn that this "conventional" project could become a "Trojan horse" for future fracking. While WA has banned fracking across 98% of the state, the Canning Basin is excluded; a previous fracking project in the same region previously attracted a record 8,000 community objections.

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According to ABC News, Buru Energy submitted its Rafael conventional gas project in Western Australia's Kimberley region to the state Environmental Protection Authority for review in early October, immediately sparking strong doubts from environmental groups about the project's positioning.

According to ABC News, the Rafael project is located in the Canning Basin approximately 85 kilometres south of Derby, and plans to process conventional gas from two co-located production wells, with the facility able to produce up to 300 tonnes of LNG per day, equivalent to approximately 16 to 17 terajoules of energy. Buru's Executive Chairman David Maxwell told ABC News that Rafael is the Kimberley's "first proven conventional gas and liquids resource" and could 100% cover the Kimberley's gas demand — with the region's daily electricity consumption between 6 and 13 terajoules. He said: "It is the first time the Kimberley has had the opportunity to source natural gas and LPG supplies from its own region."

But Environs Kimberley executive director Martin Pritchard warned that Rafael "could become a Trojan horse for fracking". He told ABC News that while Buru currently claims no intention to conduct fracking, statements the company has submitted to the Australian Securities Exchange clearly express an intent to pursue it.

Buru denies the accusation. Maxwell stressed to ABC News: "This has nothing to do with fracking. If there were any fracking involved — and I emphasise there is not — that would be a separate EPA submission, a separate application and a separate approval process." He acknowledged that Buru had conducted fracking at the Yulleroo 2 wellhead in the Canning Basin in 2010, but stressed: "We are not fracking currently... Buru has in the past, but has put that aside, and there are no plans for any stimulation at the moment."

Behind this controversy lies the policy gap between WA's 98% ban and the Canning Basin exemption in the state's energy governance. According to ABC News, the WA government has banned fracking across more than 98% of the state, but parts of the Kimberley including the Canning Basin are excluded from that ban. Earlier this year, the state EPA conditionally recommended approval of Black Mountain subsidiary Bennett Resources' Valhalla fracking project, which plans to drill up to 20 exploration and appraisal wells in the Canning Basin. The decision provoked a record 8,000 community objections.

WA Mines Minister Daniel Pastorelli, speaking to ABC News in Broome this month about the controversy, acknowledged that fracking is divisive: "I understand everyone has different views on these things, and I absolutely respect that. Clearly, our policy and approach is science-based, and that is how we are approaching fracking."

Pritchard opposes continued reliance on fossil fuels and argues the Kimberley should shift toward a renewable energy layout. He told ABC News: "What we need to do is accelerate renewable energy build-out, and do it as quickly as possible."

According to ABC News, Buru expects an EPA decision by the end of 2026 and hopes to produce first gas in early 2029. Maxwell stressed that any fracking activity would proceed as a separate EPA approval process, unrelated to the current Rafael project; but ongoing environmental group scepticism about the company's intentions means the project's future direction remains contested.

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