Santos (ASX:STO) and Beach Energy (ASX:BPT) have emerged as the preferred bidders for three expansive gas exploration permits in southwest Queensland.
The Queensland Government selected the joint venture—comprised of Santos and Beach subsidiary Drillsearch Energy—as part of a broader strategy to accelerate domestic energy production and lower household power bills.
Queensland Resources Minister Dale Last emphasised that the government expects gas from these permits to reach the market as quickly as possible.
The minister noted that gas remains a critical component of the state's energy mix, working in tandem with renewables, coal, and pumped hydro to ensure grid stability.
Further announcements regarding additional gas, coal, and vanadium permits are expected in the coming weeks.
Beach Energy CEO Brett Woods highlighted that the new blocks include extensions of existing known fields, aligning with the company's focus on boosting the Australian domestic gas supply.
At the time of reporting, the share prices of Santos and Beach Energy were $6.82 and $1.21, respectively.