❓ Question probes the WA government's dealings with Black Mountain regarding the Valhalla gas project, focusing on agreements, due diligence, and regulatory oversight. The government denies existing agreements or negotiations for gas commitment or pipelines, but acknowledges awareness and EPA referral.
AnsweredQoN 485Legislative Council
QuestionView source ↗
(1) Has the Minister, or the Government, entered into
a Domestic Gas Commitment Agreement with Black Mountain or any of its
subsidiary companies in relation to its ‘Valhalla’ gas project proposal in the
Kimberley: (a) if yes to (1), will the Minister table the agreement; and (b) if no to (1), is the Department of Jobs, Tourism,
Science and Innovation (DJTSI) negotiating such an agreement and, if so, when is
it expected to be finalised? (2) Has the Minister, or the Government, entered into
any legally binding agreement with Black Mountain in relation to a proposed gas
pipeline from the Canning Basin: (a) if yes to (2), will the Minister table the agreement; and (b) if no to (2), is the DJTSI in discussions with Black
Mountain or any of its subsidiaries over such a pipeline and, if so, at what
stage are those discussions and when are they expected to conclude? (3) Will any proposed pipeline be referred to the Environmental
Protection Authority (EPA) for assessment? (4) Is the Minister aware that the ‘Valhalla’
fracking proposal on EP371 in the Kimberley, which is currently being assessed
by the EPA, involves nine interconnected companies created by Black Mountain’s
Texas owners, including the registered proponent, Bennett Resources Pty Ltd? (5) Has any legal and financial due diligence or
risk assessment been conducted by the DJTSI to determine which of the nine
Black Mountain companies involved in the 'Valhalla' project will be legally responsible
for complying with the conditions on any gas export exemption agreement or
pipeline agreement entered into with the Government: (a) if no to (5), why not? (6) Given the complicated corporate structure Black Mountain has created around its 'Valhalla' fracking project, is the Minister confident that Western Australia’s fracking regulatory system is capable of regulating this project and any future petroleum production on the company’s lease? (7) How many and which of the following Black
Mountain companies involved in the Valhalla project have held meetings with DJTSI: (a) Black Mountain Oil and Gas
(Texas); (b) Black Mountain Canning
LLC; (c) Black Mountain Canning
Royalty Co LLC; (d) Black Mountain Land
Company LP; (e) Black Mountain Energy Ltd; (f) Black Mountain Energy
LLC; (g) Black Mountain Exploration
Australia Pty Ltd; (h) Black Mountain Exploration
Pty Ltd; and (i) Bennett Resources Pty
Ltd?
a Domestic Gas Commitment Agreement with Black Mountain or any of its
subsidiary companies in relation to its ‘Valhalla’ gas project proposal in the
Kimberley: (a) if yes to (1), will the Minister table the agreement; and (b) if no to (1), is the Department of Jobs, Tourism,
Science and Innovation (DJTSI) negotiating such an agreement and, if so, when is
it expected to be finalised? (2) Has the Minister, or the Government, entered into
any legally binding agreement with Black Mountain in relation to a proposed gas
pipeline from the Canning Basin: (a) if yes to (2), will the Minister table the agreement; and (b) if no to (2), is the DJTSI in discussions with Black
Mountain or any of its subsidiaries over such a pipeline and, if so, at what
stage are those discussions and when are they expected to conclude? (3) Will any proposed pipeline be referred to the Environmental
Protection Authority (EPA) for assessment? (4) Is the Minister aware that the ‘Valhalla’
fracking proposal on EP371 in the Kimberley, which is currently being assessed
by the EPA, involves nine interconnected companies created by Black Mountain’s
Texas owners, including the registered proponent, Bennett Resources Pty Ltd? (5) Has any legal and financial due diligence or
risk assessment been conducted by the DJTSI to determine which of the nine
Black Mountain companies involved in the 'Valhalla' project will be legally responsible
for complying with the conditions on any gas export exemption agreement or
pipeline agreement entered into with the Government: (a) if no to (5), why not? (6) Given the complicated corporate structure Black Mountain has created around its 'Valhalla' fracking project, is the Minister confident that Western Australia’s fracking regulatory system is capable of regulating this project and any future petroleum production on the company’s lease? (7) How many and which of the following Black
Mountain companies involved in the Valhalla project have held meetings with DJTSI: (a) Black Mountain Oil and Gas
(Texas); (b) Black Mountain Canning
LLC; (c) Black Mountain Canning
Royalty Co LLC; (d) Black Mountain Land
Company LP; (e) Black Mountain Energy Ltd; (f) Black Mountain Energy
LLC; (g) Black Mountain Exploration
Australia Pty Ltd; (h) Black Mountain Exploration
Pty Ltd; and (i) Bennett Resources Pty
Ltd?
AnswerView source ↗
Answered
16 March 2022
Responded by
Minister for Regional Development representing the Minister for State Development, Jobs and Trade
Response time
7 days
The Department of Jobs, Tourism, Science and Innovation advises:
(1) No
(a) Not applicable
(b) No. The Valhalla Project is still in its planning phase, and will need to demonstrate that it has an advanced development concept with consent from Traditional Owners for any activity on their land and well progressed statutory approvals processes before the State will begin negotiating a Domestic Gas Commitment Agreement.
(2) No
(a) Not applicable
(b) No
(3) – (4) Yes
(5) No
(a) See question 1(b).
(6) Yes
(7)(a) – (d) No
(e) Yes
(f) No
(g) Yes
(h) – (i) No
(1) No
(a) Not applicable
(b) No. The Valhalla Project is still in its planning phase, and will need to demonstrate that it has an advanced development concept with consent from Traditional Owners for any activity on their land and well progressed statutory approvals processes before the State will begin negotiating a Domestic Gas Commitment Agreement.
(2) No
(a) Not applicable
(b) No
(3) – (4) Yes
(5) No
(a) See question 1(b).
(6) Yes
(7)(a) – (d) No
(e) Yes
(f) No
(g) Yes
(h) – (i) No
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