PERTH, June 29 (Reuters) - Australia, the world's No. 2 liquefied natural gas producer, is experiencing an uptick in spending on energy exploration, driven by domestic gas demand, a more favourable investment climate and improving technology.

Below is a roundup of where drilling is focused, with contingent resource estimates from Geoscience Australia as of October 2025, unless otherwise stated.

BEETALOO SUB-BASIN

The Beetaloo Sub-basin is in the Northern Territory, around 500 km (310 miles) south of Darwin.

Data from the Northern Territory government estimates a contingent resource of over 7 trillion cubic feet (Tcf) of gas.

Santos STO.AX will drill three appraisal wells in the sub-basin this year and next, with approval from the territory government for up to 12.

Beetaloo Energy BTL.AX is finishing work on its gas plant in the area so it can begin sending small amounts of gas to the domestic market in Darwin, as will peer Tamboran Resources TBN.N in September.

BEDOUT SUB-BASIN

The Bedout Sub-basin is in the Roebuck Basin offshore Western Australia.

The wider North Carnarvon/Roebuck Basins are estimated to hold 37.7 Tcf of gas and 296 million barrels of oil.

Santos STO.AX and its partners Carnarvon Energy CVN.AX and Taiwan’s CPC plan to drill up to three new wells at their long-delayed Dorado project in the Bedout Sub-basin in 2027.

BONAPARTE BASIN

The Bonaparte Basin lies across the north of Australia with its better known areas offshore but with incursion into the onshore Northern Territory and Western Australia.

The wider offshore Bonaparte/Browse area is estimated to hold 44.48 Tcf of gas and 60 million barrels of oil.

Woodside Energy WDS.AX holds vast fields in the basin.

U.S. firm EOG EOG.N had been scheduled to drill oil prospect Beehive-1 offshore this year but recently applied for an extension to its work permit and may delay work until 2027, according to an application filed with the petroleum titles administrator.

OTWAY BASIN

The Otway is on- and offshore western Victoria and stretches into South Australia offshore Tasmania. Its most well-known and well-drilled areas are offshore, where gas has been sent to processing plants for decades.

The Otway and adjoining Bass Basin are estimated to hold 780 billion cubic feet of gas and 7 million barrels of oil.

The Australian government offered its first offshore acreage round in several years in late 2025 with five parcels for bidding in the Otway.

ConocoPhillips COP.N drilled two wells with junior partner 3D Energi TDO.AX in late 2025 and early this year with one success. It has permission from the environmental regulator for several follow-up wells.

Amplitude AEL.AX has one more well to drill this year after an earlier exploration campaign with privately-owned OG Energy.

ADZ, a private company, plans one well in the onshore area.

GIPPSLAND BASIN

The Gippsland Basin, one of Australia's longest-producing basins, lies mostly in the Bass Strait off the southeastern state of Victoria.

It is estimated to hold a remaining contingent resource of around 2.96 Tcf of gas and 73 million barrels of oil.

Woodside Energy WDS.AX announced in 2025 a $200 million exploration spend for the Gippsland Basin, where output is declining, to keep its nearby onshore domestic gas plant supplied.

It agreed last year to take over operatorship of the Gippsland Basin Joint Venture (GBJV) from its partner, Exxon Mobil XOM.N. Exxon failed to find more gas in an A$120 million ($83 million) campaign in 2018.

ONSHORE WESTERN AUSTRALIA

The onshore Perth Basin lies about 400 km north of Western Australia's capital, Perth.

It is estimated to hold 930 Bcf of gas and 37 million barrels of oil.

Hancock Energy, part of Hancock Prospecting owned by Australia’s richest person, Gina Rinehart, plans to drill five wells this year in the onshore Perth Basin and further north at a cost of A$200 million.

Mineral Resources MIN.AX will drill four wells onshore Western Australia, in the Perth Basin and farther north in the onshore Carnarvon Basin, through the second half of 2026 and first half of 2027.

TAROOM TROUGH

The Taroom Trough is in the southwest of Queensland not far from existing coal seam gas projects.

Exploration in the area, where unconventional drill targets are a deep 3,000 to 4,000 metres (9,842 to 13,123 ft) below ground, is at too early a stage for an overarching contingent resource estimate.

Elixir Energy's ERX.AX verified contingent resource estimate for its Grandis project is 3 Tcf of gas.

Omega Oil and Gas OMA.AX and Elixir both plan follow-up drilling this and next year.

The state has awarded multiple new permits since late 2025 to prospective explorers including private U.S. company Tri-Star.

($1 = 1.4499 Australian dollars)