Chevron's Barrow Island Gas Leak Sparks Concerns Over WA's Oil and Gas Decommissioning Practices

Chevron has confirmed a gas leak on Barrow Island in Western Australia, detected during oil production shutdown in mid-May. The company is investigating the extent of the leak and will work with regulatory agencies to develop a comprehensive investigation program. The incident has sparked questions over the industry's commitment to decommissioning and clean-up work, with the Greens calling for proper regulation and funding for the process.

Title: Chevron Confirms Gas Leak on Barrow Island, Sparking Industry Decommissioning Concerns

Chevron has confirmed a gas leak on Barrow Island in Western Australia, detected during the oil production shutdown in mid-May. The company is currently investigating the extent of the leak and will collaborate with regulatory agencies to develop a comprehensive investigation program. This incident has raised questions about the industry's commitment to decommissioning and clean-up work, prompting calls for stronger regulations and increased funding from the WA Greens.

The gas leak was discovered while Chevron was preparing to decommission the Barrow Island oil project, which was shut down in mid-May. The company has stated that it detected an unknown amount of gas leaking into the island's groundwater and surface from underground. A Chevron spokesperson noted that detailed planning for the decommissioning of WA oil infrastructure had identified an environmental risk from the subsurface migration of hydrocarbons, primarily gas, to groundwater and the surface [1].

The incident comes on the heels of another environmental incident involving Woodside, which revealed an oil spill from an offshore pipeline while decommissioning the Griffin oil and gas field. The WA Greens have expressed deep concern over these incidents, highlighting the potential risks associated with aging oil and gas infrastructure. Greens MLC Sophie McNeill has called for more funding for the decommissioning of oil and gas projects and for the government to enforce stronger regulations [1].

The WA government has stated that existing laws and regulations are appropriate, but the incidents underscore the need for a more comprehensive approach to decommissioning. The government's updated decommissioning policy and regulations for the industry were released last year, outlining expectations for decommissioning and providing clear guidance to registered holders on their obligations [1].

Australia is facing a significant challenge as a generation of offshore oil and gas infrastructure reaches the end of its working life. A study by the Centre of Decommissioning Australia (CODA) found that the cost of plugging the country's oil wells and removing its underwater pipelines would be approximately $60 billion. Most of this infrastructure is located in the Northern Carnarvon Basin, off the north-west coast of WA [1].

The incidents on Barrow Island and the Griffin oil and gas field highlight the urgent need for robust decommissioning practices and regulations. While Chevron has not disclosed the cost of decommissioning the Barrow Island oil project, the company has cited its work on Thevenard Island as evidence of its commitment to decommissioning [1].

References:
[1] https://www.abc.net.au/news/2025-07-15/calls-for-greater-regulation-after-barrow-island-gas-leak/105530062
[2] https://www.ainvest.com/news/chevron-blames-offshore-start-mars-crude-quality-issues-doe-releases-barrels-spr-2507/