Canning

Commentary

The Canning remains lightly explored but is moving towards gas production: Buru's Rafael project (15.25mm boe 2P) has entered environmental approval targeting late-2027 cash flow, and the WA EPA has recommended Valhalla appraisal. Federal approvals have become more supportive, but gas reservation, price caps, safeguard costs and opposition to fracking remain barriers. Outlook: Neutral.

Updated

October 4, 2026

Location

Description

The underexplored, pericratonic Early Ordovician to Early Cretaceous Canning Basin of Western Australia occupies about 506,000sq km, of which 430,000sq km are onshore. It has a maximum sediment thickness of over 15,000m concentrated in two NW trending depocentres. The northernmost of these is the Fitzroy Trough-Gregory Sub-basin complex, while the southernmost is the Willara Sub-basin-Kidson Sub-basin complex.

Summary

The onshore Canning is moving towards gas development to meet Western Australia's tightening domestic market. Buru Energy's Rafael conventional gas-condensate discovery has been independently assessed at 15.25mm boe of 2P reserves and was referred for environmental approval in October 2026, with first cash flow targeted for late 2027. The WA EPA has recommended Black Mountain's Valhalla unconventional exploration and appraisal programme (up to 20 wells), although it faces strong opposition. Small oil production continues from Permo-Carboniferous and Devonian reservoirs, and much of the basin remains lightly explored.