Esso Australia, the Australian subsidiary of ExxonMobil, has commenced drilling operations for the $200 million Kipper 1B project, aimed at bolstering domestic gas supply from the Gippsland Basin.
Using the VALARIS 107 jack-up rig, the project will drill and install a subsea well in the Kipper field and carry out significant upgrades to the West Tuna platform. Once complete, Kipper 1B will deliver additional gas to Australia’s domestic market before winter 2026, ensuring a steady energy supply into the next decade.
“Projects like Kipper 1B are vital to help meet the country’s energy security needs by bringing new supply exclusively for Australia’s domestic market,” said Simon Younger, ExxonMobil Australia Chair.
The initiative follows the successful Kipper Compression Project and West Barracouta project, which began production in 2021. Esso operates assets in Bass Strait as part of the Gippsland Basin Joint Venture with Woodside, and the Kipper Unit Joint Venture alongside Woodside and Mitsui.