In February 2009 the Queensland Government released its policy (PDF, 345 kB) on underground coal gasification (UCG).

The policy provides for a UCG pilot phase to gather the information necessary to assess the future viability of a UCG industry in the State. In particular, the policy makes provision for three UCG pilot projects to demonstrate the technical, environmental and commercial viability of the UCG technology.

UCG pilot projects

The three pilot projects are

• Carbon Energy at Bloodwood Creek, near Dalby;
• Cougar Energy near Kingaroy; and
• Linc Energy near Chinchilla.

The scope of the pilot projects and their respective work programs are restricted to the guidelines set out in the policy.

UCG scientific expert panel

Three high-calibre scientists were selected to undertake the important task of reviewing the UCG technology:

• Dr Christopher Cuff, C&R Consulting (Geochemical & Hydrobiological Solutions) Pty Ltd;
• Professor Chris Moran, Director Sustainable Minerals Institute, University of Queensland; and
• Professor Joe da Costa, School of Chemical Engineering, University of Queensland.

The Panel of independent scientific experts has begun preliminary work on the technical and environmental assessment of the UCG Pilot Projects.  

• UCG Scientific Expert Panel Terms of Reference (PDF, 100 kB)

Reporting process and timeframes

• Each of the three Pilot Projects will submit a detailed technical report of all activities, impacts and findings of its Pilot Project no later than June 2011.
• The Panel will review the Pilot Project Reports, focusing on the technical and environmental aspects of the UCG technology. The Panel will submit its analysis to the Interdepartmental Working Group in mid to late 2011.
• The Interdepartmental working group will report to Government on the future viability of UCG technology in Queensland, including an assessment of the potential costs and benefits of UCG for the State and advice on the environmental sustainability of UCG in Queensland. The report is expected to be completed by the end of 2011 for Government consideration.
• The Pilot Phase will finish when the Government makes its decision regarding the future viability of a UCG industry in Queensland.

Industry consultation

Industry input and consultation is continuing through the UCG Industry Consultative Committee. The Committee is chaired by Mr John Pegler, Chair of the Australian Coal Association, and comprises representatives from UCG and Coal Seam Gas (CSG) companies.

• UCG Industry Consultative Committee Terms of Reference (Word, 387 kB)
• Underground Coal Gasification Policy (PDF, 345 kB)

Further information

• Email for further information