Inpex is set to start a drilling project in Darwin Harbour to investigate the foundations of a site where it's considering building a $12 billion gas plant.

The company says it will soon commence drilling around Blaydin Point to investigate whether the area is suitable for infrastructure, an offshore gas pipeline route and dredging.

It says a 50-meter safety zone will be in place around the drilling ship.

The Japanese company is also considering the Maret Islands in Western Australia for the project.

News of the drilling comes as rumors cicrulate that Darwin is the company's preferred option.

Inpex is expected to announce its decision within the next two months.


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