A $1 billion gas storage project located three kilometres off the coast of Gippsland’s Ninety Mile Beach has collapsed into administration.

What happened? Two weeks ago, the Victorian Labor government awarded a $1 billion production licence to GB Energy.

The company proposed to remove the relatively small amount of remaining gas from the Gold Beach field before installing a two-way pipeline, which the company said would’ve allowed them to store gas in the basin.

Origin Energy, a retailer of the GB Energy project, said in a statement: “Delays to the project’s timetable and a significant escalation in costs have left Golden Beach Energy without sufficient funding to reach a final investment decision.”

Money given: The project was awarded a $32 million commercial loan by current Opposition leader Angus Taylor while acting as Minister for Industry, Energy and Emissions Reduction in the 2022 Morrison Government. 

Cover image credit: Shoreline Dr.