As published in Energy News Bulletin, Australia, during January 2025
By Ian Crossland, Commercial Director, Mocean Energy
From its vast offshore oil and gas resources to its growing commitment to renewable energy, Australia is unquestionably one of the world's most exciting and dynamic energy markets. It is already a sectoral heavyweight, ranking among the world's biggest exporters of energy, including coal and liquefied natural gas (LNG), with net exports equating to over two-thirds of domestic production.
Given its criticality to the economy, it is only natural that Australia is seeking to maximise its wealth of offshore oil and gas reserves and, as such, it is home to some of the most extensive subsea developments and longest tiebacks in the world. Climate commitments remain at the forefront of the industry's mind though, with government and industry players increasingly focused on decarbonisation.
In tandem with growing its production, recent legislation has mandated that new oil and gas wells must be offset by carbon capture and storage (CCS) initiatives, making Australia one of the largest offshore CCS markets globally, alongside the UK and Norway.
While admirable and necessary if the country is to reach its net zero targets, this move isn't without its hurdles. Subsea operations - a mainstay of CCS and offshore oil and gas - face unique challenges, due to environmental operating conditions in the region. A robust and reliable backup power or primary solution is needed to help address these pain points head-on.
The rise of wave energy in Australia
Australia boasts one of the best wave climates in the world, making it a prime location for ocean energy development. This resource is largely untapped, representing a significant opportunity to generate clean energy both for offshore operations and for, ultimately, feeding power back to the grid.
For Mocean Energy, this is an opening that is impossible to ignore. Having tested and refined our Blue X demonstrator in the waters off Orkney, Scotland, we are now exploring how our Blue Star commercial technology can help to fill the global requirement for clean and reliable power for offshore operations.
We've already initiated field studies with several major energy companies in Australia to explore how our solution can support their conventional oil and gas and CCS efforts. What has been clear from the off is that the interest in reliable renewable solutions is growing rapidly across the sector.
During our recent visits to Australia - including attendance at the International Conference on Ocean Energy (ICOE) in Melbourne - we've witnessed firsthand the growing momentum around wave energy. The conference highlighted the potential for ocean energy to play a pivotal role in Australia's energy mix, as well as the appetite from operators.
Additionally, organisations like the Blue Economy Cooperative Research Centre (CRC) and the University of Western Australia, which recently deployed a wave energy device at a test site in Albany, are championing wave energy and signalling a broader movement to position the country as a global hub for ocean energy innovation.
Positioning for long-term growth
At Mocean Energy, we are strategically positioning ourselves to meet the immediate needs of the oil and gas sector, while building a pathway toward larger-scale wave energy solutions. Our focus on small-scale devices, tailored for offshore applications, provides a credible and scalable entry point into the market. This approach not only addresses the immediate demand for reliable offshore power but also lays the foundation for expanding into other markers including grid-scale wave energy projects in the future.
The Australian energy market is a perfect fit for this strategy. With a thriving oil and gas sector, ambitious decarbonisation goals, tangible offshore renewables projects, and an unparalleled wave resource, the region offers a unique blend of opportunity and challenge.
Already we are actively engaging with local partners, attending key industry events, and conducting field studies to demonstrate the value and viability of our technology in this dynamic market. By leveraging the country's vast wave resources and aligning with its decarbonisation goals, we aim to deliver innovative, reliable, and sustainable energy solutions that will power the next generation of offshore developments.
As we continue to build partnerships and demonstrate our technology's capabilities, we are confident that we will play a vital role in shaping Australia's energy future. The potential of the ocean is vast, and we are just getting started.
