Not an issue for CTP if it does happen. Gunner is dead right,...

Not an issue for CTP if it does happen. Gunner is dead right, there is enough gas for the initial supplies to the pipeline which is what you need to build the business case. This is a moratorium, not a ban, so the NT does have the breathing space to take a couple more years to consider the regulatory framework of fraccing while they feed NGP with conventional gas from Mereenie, PV, Dingo and Blacktip offshore.

If the ban did apply to Mereenie it might restrict the ability of CTP to access the tight sands that provide much of the upside, but horizontal drilling is a much superior technology to fraccing anyway. They would probably look to drill horizontals even if they were allowed to frac. I certainly would if I were in charge at CTP. Especially with such excellent well control - there are so many wells in Mereenie that all you need to do is pick two, and drill between them. You know exactly what target you are drilling for so you should never get out of the pay zone.

All that said, RC is correct, it's a spineless, backward, regressive move by the NT opposition and it's just populist nonsense that will hurt the NT in the long run because it will delay the development of unconventional resources (like the Beetaloo) by several years. Pandering to fear of the unknown. But it won't hurt CTP's conventional supplies much, if at all. In fact Gunner makes it clear in that statement that he expects Mereenie to pick up the slack. CTP will be able to get higher prices for their gas if there's no sign on the horizon of unconventional gas due to the moratorium on fraccing.