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Australia oil spill inquiry released

A much-anticipated report on Australia's worst oil spill will not be publicly released yet because it could have legal implications, said Australian Resources Minister Martin Ferguson.
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Published: June 21, 2010 at 1:47 PM
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CANBERRA, Australia, June 21 (UPI) -- A much-anticipated report on Australia's worst oil spill won't be publicly released yet because it could have legal implications, said Australian Resources Minister Martin Ferguson.

The inquiry, submitted to Ferguson Friday, covers possible causes of the oil and gas spill from the Montara exploration well last August off Western Australia's northern coast and the adequacy of the response. It also reviews the existing regulatory body governing the oil and gas sector's response to spills.

The well, operated by Thai state oil and gas company PTT Exploration and Production, spilled oil into the Timor Sea for almost 11 weeks.

"I will act promptly and appropriately on the report once I have had an opportunity to review its contents," the minister said in a statement.

Ferguson pointed out that the purpose of the Commission of Inquiry report wasn't about pointing blame. "It was, and continues to be, about understanding and learning the lessons from Montara," he said.

During the course of the inquiry Ferguson called for a series of reviews and safety checks.

"Industry has been very supportive of this process and has undertaken its own independent measures to improve safety in the wake of both Montara and the current incident in the Gulf of Mexico," Ferguson said.

Greg Bourne, the head of environmental group WWF, who is a former senior executive with BP, said the Montara report would reveal that Australia isn't immune to a spill like BP's.

Bourne said the report would show "failures in regulatory oversight" and "sloppiness," Australian Broadcasting Corporation reports. "And, that must change, particularly if we do push into deeper water where the risks are very much greater and the possibilities of an event like the Gulf of Mexico become much more possible."

The Greens party has criticized Ferguson for the delay in releasing the report and has called for a halt to all oil drilling in Australian waters.

The minister indicated earlier this month that there was tremendous pressure on Canberra to halt offshore oil and gas drilling but last week said he has ruled out suspending exploration.

Ferguson is offering 31 drilling leases, some in waters as deep as 12,303 feet, which is more than twice the depth of BP's leaking well.

The Australian Petroleum Production and Exploration Association's chief executive, Belinda Robinson noted that prior to Montara, more than 1,500 offshore wells had safely been drilled in Australian waters since 1984 but the Montara incident is a "black mark" on this record.

The association says that Chevron, Royal Dutch Shell and ConocoPhillips are among companies planning more than $164 billion in local oil and gas projects.

Topics: Martin Ferguson
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