National Offshore Petroleum Safety and Environmental Management Authority

Background Brief – Northern Endeavour – OHS Prohibition Notice & ongoing enforcement – 09-07-2019

F196-27 Date not published 3 pages PDF

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On 10 July 2019, NOPSEMA issued a Prohibition Notice to Upstream Production Solutions (UPS), operator of the Northern Endeavour offshore production facility in the Timor Sea (550 km northwest of Darwin), requiring cessation of hydrocarbon production due to corrosion issues posing major accident risk with potential multiple fatalities and environmental damage. The titleholder, Timor Sea Oil and Gas Australia Pty Ltd (TSOGA), must demonstrate facility integrity to NOPSEMA's satisfaction before production can resume. NOPSEMA's internal brief flagged concerns that TSOGA may lack sufficient financial resources to rectify corrosion defects or fund eventual decommissioning, with potential ramifications for Australian Government obligations. The authority was considering additional enforcement actions against TSOGA for failing to ensure facility safety. The brief also noted potential diplomatic implications given the facility's proximity to Timor-Leste and TSOGA's involvement in maritime boundary negotiations.

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