Gas giant Origin Energy is abandoning plans to frack for gas in the Northern Territory’s Beetaloo Basin.
In an announcement on Monday morning, Origin said it will sell its exploration interests in the region to Tamboran Resources and its substantial shareholder, Bryan Sheffield, for $60 million, subject to consent from the Northern Territory government.
The company has also announced plans to divest from all of its remaining "upstream" gas exploration permits, because of what it has described as uncertain and expensive efforts to drive the projects into the production phase.
It expects to lose somewhere between $70 and $90 million as a result of the move, but has struck deals to buy gas from producers if production ramps up in the Beetaloo Basin.