{"id":130963,"date":"2026-05-14T04:00:00","date_gmt":"2026-05-13T18:00:00","guid":{"rendered":"https:\/\/timesnewsgroup.com.au\/geelongtimes\/?p=130963"},"modified":"2026-05-13T17:52:18","modified_gmt":"2026-05-13T07:52:18","slug":"victoria-backs-new-otway-gas-field-corio-bay-terminal-uncertain","status":"publish","type":"post","link":"https:\/\/timesnewsgroup.com.au\/geelongtimes\/news\/victoria-backs-new-otway-gas-field-corio-bay-terminal-uncertain\/","title":{"rendered":"Victoria backs new Otway gas field, Corio Bay terminal uncertain"},"content":{"rendered":"<p>THE Victorian government is pursuing a new offshore gas project near the Twelve Apostles but is less definitive about supporting a proposed floating gas terminal in Corio Bay.<\/p>\n<p>On Thursday last week, the Victorian and federal government approved a production licence for Amplitude Energy&#8217;s Annie gas field in the Otway Basin between Port Campbell and Peterborough.<\/p>\n<p>Production is expected to begin next year, with gas expected to start flowing in 2028. The field is estimated to contain enough gas to meet more than a third of Victoria&#8217;s annual demand.<\/p>\n<p>The approval comes as Bass Strait gas supplies continue to decline and the Australian Energy Market Operator warns of potential shortfalls, now forecast for 2029.<\/p>\n<p>The government says increasing local supply will help ease pressure on prices and maintain reliability for industry.<\/p>\n<p>Victorian premier Jacinta Allan said the decision reflected the role gas would continue to play during the state&#8217;s energy transition.<\/p>\n<p>&#8220;My Labor government has always been clear there is an important role for gas in our energy mix into the future,&#8221; she said during a visit to Viva Energy&#8217;s Geelong refinery.<\/p>\n<p>&#8220;That&#8217;s why we&#8217;ve been working hard to, where you can and should, encourage households and businesses to go all-electric.&#8221;<\/p>\n<figure id=\"attachment_30038\" aria-describedby=\"caption-attachment-30038\" style=\"width: 600px\" class=\"wp-caption aligncenter\"><img loading=\"lazy\" decoding=\"async\" class=\"wp-image-30038\" src=\"https:\/\/static.timesnewsgroup.com.au\/prod\/uploads\/sites\/2\/2026\/05\/VivaEnergyGasTer_77329.jpg\" alt=\"\" width=\"600\" height=\"400\" \/><figcaption id=\"caption-attachment-30038\" class=\"wp-caption-text\">Viva Energy&#8217;s proposed floating gas terminal would convert LNG shipped in from overseas into natural gas. Photo: Viva Energy.<\/figcaption><\/figure>\n<p>&nbsp;<\/p>\n<p>Energy and resources minister Lily D&#8217;Ambrosio said demand for gas was expected to fall as electrification increased, but some sectors would remain reliant.<\/p>\n<p>In response to forecast gas shortages, Viva Energy proposed in 2022 to create a floating gas terminal project at its Geelong refinery. The project would import liquefied natural gas from overseas before converting it back into natural gas for use in Victoria and southern Australia.<\/p>\n<p>This regasification terminal, Viva Energy says, would have the capacity to supply enough gas to meet the daily and seasonal gas demands of Victoria and southern Australia.<\/p>\n<p>The project received federal environmental approval last month after gaining state environmental approval in May last year. The company has previously estimated construction would take about two years, with operations potentially beginning in 2028.<\/p>\n<p>But the Victorian government stopped short of explicitly backing the Corio Bay proposal this week, instead pointing to a broader mix of supply measures under consideration.<\/p>\n<p>A Victorian government spokesperson said state and federal energy ministers had been working together on a mix of east coast gas supply options aimed at delivering the lowest-cost outcome for customers, including pipelines and regasification projects.<\/p>\n<p>&#8220;Only Labor will help to drive down Victorians&#8217; energy bills by going electric and work to secure the gas supply Victorian industry needs,&#8221; the spokesperson said.<\/p>\n<p>Viva Energy declined to comment this week about the status of its floating gas terminal.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>THE Victorian government is pursuing a new offshore gas project near the Twelve Apostles but is less definitive about supporting a proposed floating gas terminal in Corio Bay. On Thursday last week, the Victorian and federal government approved a production licence for Amplitude Energy&#8217;s Annie gas field in the Otway Basin between Port Campbell and [&#8230;]<\/p>\n<p><a class=\"btn btn-secondary understrap-read-more-link\" href=\"https:\/\/timesnewsgroup.com.au\/geelongtimes\/news\/victoria-backs-new-otway-gas-field-corio-bay-terminal-uncertain\/\">Read More&#8230;<\/a><\/p>\n","protected":false},"author":26,"featured_media":130964,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"inline_featured_image":false,"footnotes":""},"categories":[7],"tags":[],"post_folder":[],"class_list":["post-130963","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.7 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Victoria backs new Otway gas field, Corio Bay terminal uncertain - 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