Environment Minister Murray Watt approves Woodside’s North West Shelf gas project

Murray Watt has approved Woodside Energy’s extension of the North West Shelf gas project to 2070.

The Environment Minister gave the go-ahead for the project on Wednesday subject to strict conditions around cultural heritage management and air quality.

The proposed decision and imposed conditions will now be put before Woodside, which has 10 days to respond before a final decision is made by Senator Watt.

He said he considered potential impacts of extending the project on “the national heritage values of nearby ancient rock art” alongside the “economic and social matters” of the development.

“Following the consideration of rigorous scientific and other advice, including submissions from a wide cross-section of the community, I have today made a proposed decision to approve this development,” Senator Watt said.

“My responsibility is to consider the acceptability of the project’s impact on protected matters.

“In this case, the impact of air emissions on the Murujuga rock art that forms part of the Dampier Archipelago was considered as part of the assessment process.

“I have ensured that adequate protection for the rock art is central to my proposed decision.”

It follows Wednesday’s revelation that an application for World Heritage status for the Burrup Peninsula has been knocked back by UNESCO, with the area’s industrial development blamed for the decision.

Speaking at the Australian Energy Producers conference, Woodside chief executive Meg O’Neill welcomed the conditional extension, saying it will support thousands of jobs.

“I’d like to commend Minister Watt for sticking to his word and putting forward a decision by May 31,” she said.

She admitted while the company “haven’t always gotten it right” it has held a “very strong working relationship” with Aboriginal groups for more than 40 years.

Ms O’Neill also said natural gas was “part of the solution” to bring down cost-of-living pressures which were central at the 2025 Federal Election.

“When we look at the trajectory the world is on, and we look at the continued growth of coal, LNG is going to play an increasingly important role in helping the world decarbonize,” she said.

“We need to make sure that we’re tackling those cost of living pressures that were such an important issue at the most recent election.”

The company’s shares jumped more than four per cent after the decision was made on Wednesday afternoon.

Woodside executive vice-president Liz Westcott echoed the gas giant’s commitment to protecting the Murujuga cultural landscape and its support for the World Heritage nomination.

“Since starting operations in 1984, the North West Shelf Project has paid over $40 billion in royalties and taxes, and supported regional development opportunities in the Pilbara,” Ms Westcott said.

Earlier on Wednesday, Prime Minister Anthony Albanese had reaffirmed his Government’s support for gas, as Australia shifts to a renewable future, saying it was needed to support the green energy plan.

Conservation Council of WA executive director Matt Roberts said a 45 year hand-over period in a transition to renewable energy was “simply ludicrous”.

“My children will be in their 50s and 60s in 2070 – that’s not a transition, that’s more than half a lifetime,” he said.

Climate Council chief executive Amanda McKenzie labelled Senator Watt’s green-light approval as a betrayal to Australian voters after twice-delaying the decision until after the May 3 federal election.

“Approving the North West Shelf extension leaves a polluting stain on Labor’s climate legacy,” she said.

Premier Roger Cook had urged the Federal Government to make a “legally sound” decision to support the project after the WA Government approved it in December 2024 following a six-year assessment period.

State Labor leader said he welcomed the decision and “looked forward” to a “prompt conclusion” — adding the extension can manage environment risks and supports WA jobs.

“As we phase out coal-fired power and transition to a renewable energy future, Western Australia needs a secure supply of gas to firm the renewables entering our system,” Mr Cook said.

Among the string of industry reactions was Australian Resources and Energy Employer Association’s Steve Knott who described it as a “welcome and long overdue step” after “environmental lawfare”.

“Such processes are critical in the face of environmental lawfare that is stalling and frustrating other significant oil and gas and mining projects,” Mr Knott said.

“Today’s decision sends a positive signal for global investment and national prosperity.”

Chamber of Commerce and Industry WA chief executive Peter Cock said the decision was a win for economy and energy security, adding the six-year approvals process was an “unacceptable” limbo.

“Reliable gas supplies underpin much of WA’s industry and economic activity,” Dr Cock said.

“The North West Shelf extension will secure Australia’s gas supplies for decades to come, supporting our economy and keeping costs down for families.”

Australian Chamber of Commerce and Industry chief executive Andrew McKellar also slammed the lengthy approvals process: “If we want to secure major investments, not just in gas, but in all sectors of our economy, then we need to streamline and fast track environmental and planning approvals.”

Richard Harris from DomGas Alliance — the body representing WA’s biggest natural gas users — described the decision as “a line-in-the-sand moment” to meet domestic gas obligations.

“Gas producers must maintain a social licence to operate and ensure Western Australians benefit from local gas reserves,” Mr Harris said.

Fellow gas giant Shell Australia’s chair Cecile Wake said the North West Shelf was an “iconic Australian project” and the proposed approval provided “much needed certainty” for “the industry as a whole”.

It was also welcomed by unions, including Australian Workers Union and Maritime Union of Australia.

“Today’s decision to maintain a stable, operational project employing well over a thousand hydrocarbons workers in well-paid jobs is a victory for common sense,” AWU national secretary Paul Farrow said.

However, conservation groups expressed shock and accused Labor of defying scientific warnings.

“This State is going to suffer the most and this project is going to disproportionately drive climate change and make it even worse,” Australian Conservation Foundation campaigner Piper Rollins said.

“That’s going to drive more floods, that’s going to drive more bush fires, that’s going to drive more coral bleaching.”

Upper House WA Greens MP Sophie McNeill called the claim that Aboriginal rock art can be adequately protected a “disgrace”.

“We hoped Federal Labor had more of a spine,” she said, adding it was a “shameful day.”

Mardathoonera woman Raelene Cooper — who filed a last-minute application in the Federal Court this week to halt the project to protect ancient rock art — said in a brief statement: “See you in court.”