Victorian and Federal Governments Approve Annie Gas Field Project to Boost East Coast Gas Supply

Melbourne - The Allan Labour Government and the Albanese Labour Government have jointly approved a Petroleum Production Licence for Amplitude Energy’s Annie Gas Field Project, situated in the Otway Basin, Kwedu News has learnt. 

The initiative is set to unlock a significant volume of locally produced gas, specifically designated for the domestic east coast market to support industries unable to transition to electric alternatives.

The project is estimated to provide the equivalent of more than one-third of Victoria’s annual gas consumption.

By utilising existing infrastructure from the Casino-Henry-Netherby gas field, works are scheduled to commence next year, 2027, with gas delivery expected to begin in 2028.

Federal Minister for Resources and Northern Australia, Madeleine King, said the license is strategic in preventing energy deficits.

"The Annie production licence is an important step in bringing more gas to the east coast market, in line with the Albanese Government’s Future Gas Strategy," Minister King said.

"This licence is expected to deliver additional gas exclusively for domestic use, easing the risk of potential shortfalls for Australia’s east coast," she said.

The announcement comes as the Australian Energy Market Operator (AEMO) recently shifted its peak-day gas shortfall forecast to 2029, a delay attributed to reduced demand following state-led electrification initiatives.

Victorian Minister for Energy and Resources, Lily D’Ambrosio, noted that while the state is transitioning toward renewable energy, securing local supply remains a priority to combat rising costs.

“Only Labor has a plan to manage the energy transition responsibly, unlocking local supply, lowering bills for families and keeping Victoria’s economy strong,” Minister D’Ambrosio stated.

“This approval unlocks more affordable, locally produced gas for Victorians helping to secure supply for the industries that still rely on gas," she said.

In addition to the Annie Gas Field, the government confirmed the approval of the Offshore Petroleum and Greenhouse Gas Storage Amendment Regulations 2026.

This move provides regulatory certainty for the A$1 billion Golden Beach gas production and storage project in Gippsland, which is expected to increase Victoria’s gas storage capacity by 70 percent.

Furthermore, the Australian Government is seeking nominations for new offshore petroleum exploration areas in the Gippsland and Bass Basins.

Minister King noted that these basins are a priority for the nation's energy security.

“Ongoing investment in the nation's petroleum sector is vital for the economy and meeting the energy needs of Australians,” Minister King added.

“This is another step to securing future energy supplies for the nation," she said.

All proposed projects will be subject to strict environmental and emissions standards, including a mandatory 30-day public consultation period for any environment plans.

Nominations for the new exploration areas will remain open until June 19, 2026.