Taroom Trough petroleum exploration

The Taroom Trough is an onshore petroleum and gas exploration area in Queensland, approximately 43,000 square kilometres in size. It covers a largely rural area located between Chinchilla and Roma on the Western Downs, and forms part of the broader Bowen–Surat Basin, an established hydrocarbon province with a long history of exploration and production.

Taroom Tough map — *Map shown is indicative only and does not represent exact boundaries and locations.*

Queensland's opportunity

The Taroom Trough is emerging as one of the most prospective onshore oil and gas exploration regions in Australia. Geological studies and exploration indicate the area may contain oil and gas, including light oils that could be refined into transport fuels such as petrol and diesel.

Petroleum exploration in the Taroom Trough provides an opportunity to assess a potentially significant new source of domestic gas and liquids. In February 2026, we progressed petroleum and gas exploration in parts of the Taroom Trough through the award of exploration permits to industry. In March 2026, we released additional areas of land for petroleum and gas exploration via competitive tender, including several areas within the Taroom Trough.

While exploration remains at an early stage, activity is progressing though exploration and appraisal to better understand the scale and viability of potential resources.

A Taroom Trough Development Plan is being developed to ensure timely and coordinated government planning, assessment and decision making in the area.

If exploration confirms the resource potential, the Taroom Trough could become Australia's first major new oil province since the 1970s and support Queensland's domestic oil and liquid fuel supply over the long term, in addition to offering potential for significant gas resources.

Current exploration activity

In early 2026, petroleum and gas exploration tenders were awarded in parts of the Taroom Trough following a competitive assessment process. This includes an area of approximately 750km², awarded to Omega TN Pty Ltd, Tri-Star Stonecroft Pty Ltd and Drillsearch Energy Pty Ltd.

Current active explorers in the region include Omega Oil and Gas, Elixir Energy, Santos and QGC (Shell).

To date, exploration tenure holders have committed more than $500 million for exploration and appraisal programs in the area. Activity remains at an early testing and appraisal stage and does not involve commercial production.

Current exploration activity may include:

delineation of the depth, extent and geological structure of hydrocarbon‑bearing formations
exploration drilling to assess resource occurrence, depth and reservoir characteristics
appraisal testing to bring hydrocarbons to the surface under test conditions to assess flow rates, quality and potential for economic evaluation.

While exploration and appraisal activities are underway, these are not occurring in or beneath towns, including Taroom, and are limited to areas within granted exploration permits.

Not all exploration leads to development. Where potential resources are identified, further appraisal is needed to understand their size, quality and development options. The focus will be on progressing appraisal and moving efficiently through future approvals so that further development decisions can be considered in a timely way.

Resource potential

Recent exploration has identified gas-rich subsurface systems with some associated liquids, including light oil. While light oil can be suitable for refining into transport fuels, Queensland's fuel security challenge is more heavily driven by diesel demand, particularly across mining, freight and agriculture. The significance of any liquids discovery will therefore depend not only on volume, but also on crude quality, refinery compatibility and its potential contribution to diesel and other priority fuels.

The resources being explored in the Taroom Trough occur at significant depth, typically around 3,000 to more than 4,000 metres below the surface, in the deepest part of the basin. At these depths, more complex drilling and appraisal are required compared to those used for shallower petroleum resources.

Supporting infrastructure

While Queensland is part of a well-established east coast energy network and has existing gas infrastructure and some established oil production, including in the Cooper–Eromanga Basin, liquids infrastructure remains limited in the context of a potential new large-scale onshore oil development such as the Taroom Trough.

If onshore oil production were developed in the Taroom Trough, it would need to be considered alongside existing refining capacity, transport options and supply chain arrangements. In the early stages, liquids would likely rely on road-based transport or other interim logistics solutions.

Over time, and subject to production scale, commercial viability and approvals, additional investment may be made in liquids infrastructure, particularly storage and transport infrastructure to connect production from the Taroom Trough to existing refining capacity.

Environment, land access and regulation

All petroleum and gas exploration and production in Queensland is regulated under state legislation and must comply with requirements for:

environmental assessments and approvals
land access and compensation arrangements with landholders
groundwater protection and monitoring
safety and operational standards.

Commercial production cannot occur without further approvals after exploration, including additional environmental and regulatory assessment.

We oversee exploration activity to make sure it is carried out responsibly and in line with Queensland’s regulatory framework.

Glossary

Appraisal: Further exploration to better understand the size, quality and potential of a discovery.
Exploration: Early-stage activities to find out whether petroleum or gas may be present, such as geological studies and test drilling.
Gas: A gaseous form of petroleum that may occur alongside oil in underground rock formations.
Oil: A liquid form of petroleum that can be refined into fuels such as petrol and diesel.
Petroleum: Naturally occurring oil and gas found beneath the Earth’s surface.
Production: The extraction of oil or gas for sale. Production cannot occur without separate approvals.

Further information

To learn more about exploration in Queensland:

Last updated: 06 May 2026
Last reviewed: 08 April 2026