2.750
%
Neutral
3
mm boe
11
%
While the government has offered more support to the industry, including approval of the North West Shelf extension in 2025, the application of foreign-ownership rules, the gas reservation and price-cap regime and safeguard-mechanism costs continue to create barriers for operators. Environmental approval reform remains a key watch point. Outlook maintained because supportive approvals are offset by intervention in the domestic gas market. Outlook: Neutral. Risk premia unchanged at 2.75%.
October 7, 2026
Asia - Pacific
mm bbl
bcf
Oceania, continent between the Indian Ocean and the South Pacific Ocean.
Concession
The fiscal regime that applies in Australia to the petroleum industry consists of a combination of corporate income tax (CIT), a petroleum resource rent tax (PRRT) and royalty-based taxation.
Prime Minister Anthony Albanese's Labor government was re-elected with an enlarged majority in May 2025, and Australia remains a low-risk, rule-of-law jurisdiction. US and UK guidance highlight a transparent but increasingly rigorous Foreign Investment Review Board regime, particularly for critical infrastructure, minerals and Chinese-linked capital. Australia is one of the world's largest LNG exporters (via Gorgon, Wheatstone, Ichthys and the Queensland CSG-to-LNG projects). However, investors face intensifying regulatory intervention, including east-coast gas price caps and a mandatory code of conduct, the reformed Safeguard Mechanism on emissions, and lengthy environmental approvals, although the North West Shelf life extension was approved in 2025.
Source: ESRI, Heritage Index, HMG Foreign & Commonwealth Office, US Department of State, International Trade Administration, International Law Review, Ernst & Young, Wood Makenzie & OGA data.
© 2024 Oil & Gas Advisors Limited
Website by Rugby Web Design
