Jan 15 (Reuters) - Australia's Santos on Monday said it welcomed a court ruling that allowed the oil and gas firm to proceed with the construction of an undersea pipeline that forms a part of its $4.3 billion Barossa gas project.

"The decision was in favour of Santos, with the Court dismissing the application and discharging the injunction that prevented pipelay activities south of the kilometre 86 (KP86)point along the Barossa Gas Export Pipeline," the company said in a statement.

(Reporting by Roushni Nair in Bengaluru)