The state government has warned energy giant Santos about making misleading comments regarding the progress of the controversial Hunter Gas Pipeline project.
In response to complaints from the Hunter Gas Landholders Rights Alliance, Energy and Environment Minister Penny Sharpe said her department had taken action on at least one occasion in response to a false statement.
It is believed the action followed comments from Santos chief executive Kevin Gallagher at a gas industry conference in Adelaide this year.
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Mr Gallagher stated: "We've got the (gas pipeline) easement, all we need is a licence for that pipeline."
The former state government granted Santos the right to survey the proposed route in January, however, it has been met with significant resistance from landholders along the proposed 413-kilometre route between the Narrabri gas project and Newcastle.
The alignment is yet to be finalised and Santos still needs to obtain a pipeline licence.
Ms Sharpe warned similar statements could damage the company's application for a pipeline licence.
"The Office of Energy and Climate Change has also reiterated that any decision to grant a pipeline licence could be impacted by the conduct of Hunter Gas Pipeline prior to submission of a licence application," Ms Sharpe warned.
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The minister recently received a separate complaint from Quirindi farmer Peter Wills who has alleged a Santos representative told landholders their properties would be compulsorily acquired if they did not cooperate with the company's plans.
Ms Sharpe told the Newcastle Herald that she was aware of community concerns about communications from Santos.
"The NSW Government expects Santos to present factual information when engaging with landowners," she said.
"We take allegations like this very seriously. I encourage anyone with concerns to contact the NSW Office of Energy and Climate Change, on energy@planning.nsw.gov.au."
But a Santos spokesman said the company was committed to respectful relationships with all landholders.
"We have not received any complaints and encourage anyone who has concerns to contact us on 1300 427 546 as soon as possible. We take complaints very seriously and will work respectfully with landholders to resolve their concerns promptly," the spokesman said.
He said Santos had been engaging and negotiating in good faith with landholders along the Hunter Gas Pipeline since October 2022.
"We have access agreements to survey more than 50 per cent of the pipeline route. Where the route has been finalised, we are now working with landholders on easement agreements," he said.
The Herald spoke with three landholders who have refused to engage with Santos following initial interactions.
Breeza farmer John Hamparsum said he was initially approached to help lobby the government for access to stock routes.
"I don't know how they got that in their heads," he said.
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"I've told them I don't want to communicate with them unless it's via the mail because it causes me too much stress.
"I dealt with Shenhua (mining company) for 13 years. I don't need the stress of dealing with another petrochemical company."
Santos previously advised Mr Hamparsum that the gas pipeline would need to go through the middle of his 1500-hectare farm.
"I told them earlier that when they can guarantee me they are not going to mine the Liverpool Plains for gas I will talk to them. I'm not going to be a party to helping them destroy the Liverpool Plains."
Quirindi farmer David Wallis said the Santos representatives had been "difficult to deal with".
They had proposed putting the pipeline through his 140-hectare irrigation farm.
Mr Wallis posed a series of questions about potential environmental impacts.
"We only ever got answers back from their representative who had been here. We didn't get any response from Santos to say they would be responsible for soil erosion or aquifer contamination."
Mullaley Gas and Pipeline Accord spokesperson and cattle farmer Margaret Fleck said the project was causing enormous stress in the community.
"Santos has delayed its final investment decision by another year," she said.
"It is subjecting locals to the uncertainty and stress of having a polluting gas pipeline hanging over their heads while it makes boardroom decisions in high rise buildings in Adelaide. Santos ought to bugger off and abandon its Narrabri Gas Project, Hunter Gas Pipeline, and coal seam gas exploration drilling on the Liverpool Plains and leave locals in peace."