PEP11 is dead

It’s official. After 7 long years of widespread community resistance from groups like Surfrider Foundation to petroleum exploration off the NSW coast between Newcastle and Manly, Ed Husic the Minister for Industry and Science announced that a proposed drilling project will not be allowed.

Here’s the press release from Surfrider.

For Immediate Release

17th January 2025

CONTROVERSIAL DRILLING PROJECT PEP11 FORMALLY REJECTED AFTER LONG COMMUNITY CAMPAIGN

After 7 long years of community opposition, the PEP 11 lease to drill for gas off the NSW coast has been cancelled. The community can now breathe a sigh of relief.

Concerned coastal communities and the many diverse environmental groups opposed to the PEP11 project are breathing a sigh of relief after a controversial offshore oil & gas drilling project has been refused.

Today Ed Husic the Minister for Industry and Science released a statement that the Joint Authority has refused the applications, citing reasons of public interest, concerns about the applicants’ estimate of the cost of works and their ability to raise the necessary capital to fund the proposed works.

Known to the public as PEP11, the project refers to Petroleum Exploration Permit 11 which is the 4576 square kilometre offshore gas lease between Newcastle and Manly NSW.

Since 2018 Surfrider Foundation Australia, along with numerous community groups, environmental organisations, coastal councils and state and federal MPs, have vigorously opposed this mining project due to its unacceptable environmental impacts, negative economic impacts on recreational and commercial fishing, as well as its negative impacts on coastal tourism.

Over 80,000 handwritten signatures were gathered by the community group Save Our Coast, along with thousands of additional community submissions made to the Government, and thousands of people paddling out in protest at various East Coast beaches organised by Surfrider Foundation Australia. The opposition to the project was fierce and the community were vocal in their opposition.

In 2021 prior to the upcoming Federal election, former Prime Minister Scott Morrison announced that the PEP 11 permit would be refused after the mine became highly politicised with unprecedented community pressure and media scrutiny.

After the 2022 election, the decision was then challenged by the mining company ASSET Energy and the Federal Court ordered the new Labor Government to reassess the application.  This meant that the community once again faced the threat of the potential fossil fuel project and associated oil spill on the most populated coastline in Australia, despite widespread community and political opposition.

During this period, the NSW government passed the Environmental Planning and Assessment Amendment (Sea Bed Mining and Exploration) Bill, designed to prohibit fossil fuel mining in NSW coastal waters and prohibit infrastructure supporting offshore mining in NSW Commonwealth waters. This Bill set an important precedent in Australia as it will likely act as a significant economic deterrent to future offshore fossil fuel mining projects in NSW.

Surfrider Foundation Australia’s Northern Beaches Branch Committee member Rowan Hanley who has been fighting to protect the Northern Beaches from this proposal for years shares:

“The STOP PEP 11 win today is a historic moment because as one MP mentioned, “it sets a precedent for communities stopping an offshore mine due to government pressure. It’s never happened this way before.”  This win truly belongs to the communities of ocean people who care, and who show up because they want to protect the coastlines that they love.

This is Australia’s most populated and valuable recreational coast as well as a major whale migration super highway.  At a time when Australia should be rapidly transitioning to renewable energy systems at scale and speed, opening NSW’s first offshore fossil fuel mine was never going to fly with Sydney’s beach-loving communities.”

Surfrider Foundation Australia’s National Campaigns Director, Drew McPherson added:

“This is a huge win for local communities right along these coastlines, and a huge win for the marine environment.”

“It’s outrageous to think oil & gas companies even considered putting at risk the most populated coastline in Australia. These waters and coastlines are loved and enjoyed by so many, and we are glad to see them protected forever through the actions of the community coming together to have their voices heard.

“Australia exports over three times the amount of gas we use domestically. We don’t have a gas supply problem, we have a gas export problem. The gas industry is mostly multinational, and pays next to no tax, no PRRT, and little in royalties. To continue to allow them to expand into Australia’s pristine marine ecosystems, in the middle of the climate crisis, is madness.”

Save Our Coast Founder, Natasha Deen, initially founded the campaign to stop PEP11 after hearing about the impact the proposal would have on the Newcastle coastline. She shares “We are absolutely delighted that the flawed PEP 11 plan that threatened catastrophic harm to our delicate coastal environment, climate and way of life, is finally over. This is a win for the marine ecosystem, climate and communities and for the thousands of voices that joined us to denounce the unacceptable risk that was PEP 11. We are humbled to have begun the Stop PEP 11 campaign in early 2018 and thank the thousands of community members and Members of Parliament who joined us to ensure the only just and fair outcome that we see today.”

For 34 years, Surfrider Foundation Australia has fought to protect Australia’s coastlines, including most recently the Fight for Bight and Save the Southern Sea TGS campaign. Surfrider will continue to focus campaigning efforts on protecting Australia’s coastlines from the destructive impacts of fossil fuel exploration.

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