With a rare combination of extensive oil reserves and local refining capabilities, the small outback town of Eromanga is putting itself forward for fuel security. Source: Quilpie Shire Council.
A tiny Australian outback town with fewer than 50 residents could hold the key to the country’s fuel crisis, with claims it sits on a potential oil boom worth billions.
The remote community of Eromanga, better known for dinosaurs than diesel, is now being touted as a potential “Kuwait of Australia” as pressure mounts to tap vast reserves in the nearby Cooper Basin.
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The Queensland Government announced the first barrels of oil from the Taroom Trough were sent to Eromanga for refining into diesel. Source: Quilpie Shire Council.
The Regional Planning Interests (Lake Eyre Basin) Amendment Regulation 2024 and the Environment Protection and Biodiversity Conservation Act 1999 control what happens next. Source: Quilpie Shire Council.
With fresh oil flows from the Taroom Trough already being refined locally, industry insiders believe the region’s untapped potential could dramatically boost domestic fuel supply – if state and federal governments are willing to loosen strict environmental controls restricting production levels and access to much larger reserves in the Cooper Basin.
Quilpie Shire Mayor Ben Hall said the Eromanga refinery, run by Inland Oil Refinery since 1986, was under-utilised – restricted to 635 barrels a day by the Regional Planning Interests (Lake Eyre Basin) Amendment Regulation 2024, while bigger refineries near Brisbane were free to produce up to 1,250 barrels a day.
“We have been called the Kuwait of Australia, and when you consider what we’re sitting on, that’s not overstating the oil reserves that can be safely accessed in our region,” Mr Hall said.
“At a time when global fuel markets remain volatile, it makes sense to maximise what we have onshore and close to where it’s needed.”
“The capacity out of the Taroom Trough is low, with only a handful of wells in operation, while the Cooper Basin has hundreds of wells with known capacity, and commercial infrastructure already established by Santos and BHP.”
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Eromanga is said to be one of Australia’s furthest town’s from the sea. Source: Quilpie Shire Council.
Quilpie Shire mayor Ben Hall believes oil reserves that exist in the Cooper Basin could be processed locally at the Eromanga refinery. Source: Quilpie Shire Council.
“Local production, rather than transporting oil along the Warrego Highway to Eromanga, would also take pressure off road infrastructure, which is set to be impacted by increased large freight movements from Taroom.”
Mr Hall said unlocking development of Australia’s first oilfield in 50 years would help the country’s long-term fuel security – especially with oil reserves in the Cooper Basin able to be processed locally at the Eromanga refinery.
“For more than 40 years, this region has quietly delivered oil production without environmental incident – a track record that stands up under any level of scrutiny. Our oil is so pure it is used primarily for underground mining due to its low emissions,” he said.
“We’re only around 1,000km from Brisbane, and despite sitting on the very outer edge of the Lake Eyre Basin — which covers a huge 1.2 million square kilometres — our region is bound by the Regional Planning Interests (Lake Eyre Basin) Amendment Regulation 2024, which currently restricts further oil extraction from the Cooper Basin.”
He said geologically it was a very stable region with a strong safety record.
Quilpie Shire Council is calling for revisions to regulations to allow for greater levels of fuel processing in the area. Source: Quilpie Shire Council.
Billions of dollars worth of oil are said to be locked in the greater area. Source: Quilpie Shire Council.
“We’re calling for the Cooper Basin to be front and centre in the national discussion on local fuel supply.”
He said there was a “real opportunity” to ensure infrastructure already in place at Eromanga was recognised as a critical asset.
Quilpie Shire Council has called for a review of policies including the Regional Planning Interests (Lake Eyre Basin) Amendment Regulation 2024 and the Environment Protection and Biodiversity Conservation Act 1999.
“The next logical step is to ensure the Cooper Basin and greater Lake Eyre Basin aren’t constrained from helping Australia at this time of crisis.”
He said discussions were already underway regarding potential expansion at the Eromanga refinery to help scale up domestic production.
“The other part of the equation is to allow access to oil reserves in the Cooper Basin. Eromanga is well-known as the home of Australia’s biggest dinosaur and for being the furthest town from the sea in Australia – we’d love to see it equally well known as being at the centre of the nation’s fuel future.”