Energy companies are set to increase exploration spending by over $1 billion this year, a 10% rise from 2025 levels, according to Rystad Energy. This surge in activity follows years of contraction, during which Australia shuttered five of its seven refineries, leaving the nation increasingly dependent on imports from South Korea, China, and Brunei. Federal and state authorities have responded by streamlining approval pathways and launching new tenders to incentivize rapid development.

Queensland has led this legislative push, introducing new measures to fast-track energy projects deemed of state significance. Keld Knudsen, Queensland Director at Australian Energy Producers, noted that investors require coordinated approval pathways to unlock the next generation of energy assets. Recent government action has already facilitated new exploration in the Taroom Trough, where operators have committed over US$344 million to appraisal programs.

Attention is also turning to high-profile offshore and onshore prospects. Santos is prioritizing the appraisal of the Beetaloo and Bedout basins to leverage existing processing infrastructure. The Bedout Basin holds the Dorado discovery, currently Australia’s largest undeveloped oil project, while the Beetaloo Basin in the Northern Territory contains an estimated 430 trillion cubic feet of gas. With Santos targeting appraisal drilling in 2026, these basins represent a critical attempt to stabilize domestic supply for the next half-century.