Ann: Power Station Commissioning Update , page-11

I agree with Stykes on this in part, but even though this graph shows a huge downturn, an ammonia plant wasn't and isn't going to happen overnight and there's going to be a lot more water under the bridge before this all happens.

I'm constantly bemused by the amount of people that think this technology should be an instant success, I certainly think it will be a success but it's got many goals to meet along the way before things really fly.

One of these many goals is power generation which I feel presently the obvious route and more importantly will prove economical viability for cnx's technology which can only strengthen it's cause and hopefully UCG as a whole.

Like most new start up technologies this was always going to be a longer term prospect, you'd have to be crazy to have thought otherwise, I think some have forgotten we're still in a pilot phase (Re:Outcomes of Qld Government reports due sometime between Dec 2010-Dec 2011)which is the perfect time to be learning and iron out the bugs so to speak,
I'm a long term believer, it's clear there are many fly by nighter's/ here as well.

I feel there's going to be a lot happen over the coming year to year and half with this Government Report on the potential future of UCG technology in Qld being a ticket I'm hoping that will give it a "Free to Fly". Bear in mind this won't be presented to cabinet until 2011/12, so though there is much more to come that may influence the future of cnx and UCG here in Qld, it's this report that will be a huge weight of it's back in my opinion and one that will allow it to fly freely from here on in.



Remember Andrew Dash's background, extensive experience in the energy sector, with particular experience in the commercial development of gas operations and associated infrastructure on a national scale. He previously held executive management roles with the leading energy transmission business APA Group and prior to this AGL, so he understands the power generation industry probably better than anything else.
Energy cost and demands are clearly increasing world wide, so it's by no means a dud to have iron in this fire, after all with the latest Carbon Energy deal,Carbon Energy signs first international development Agreement with Chiles Antofagasta Minerals" which has huge potential.
What we're doing now in this area is of paramount importance I feel.

With Mr Dash's current experience and what and all that is going on at this point in time, it's a clear and obvious immediate direction for cnx but it's certainly been made clear in several announcements that an ammonia plant (Ipl's recent further commitment etc...etc...) and possibly methanol plant is still on the cards, just got to go one step at a time I think.

For those that are interested here's a small piece taken from an article written last year about Chile's Energy Policy:

Chiles Energy Outlook

Given its limited supply of fossil fuel resources and increasing energy demand, Chile will continue to rely on natural gas and oil imports from Argentina in the short to medium term. LNG imports from other suppliers such as Asia and Russia could help. But as demand for LNG continues to rise, higher prices could reduce the fuels comparative advantage over diesel, a heavy polluter and historically more expensive fuel option.

While renewable energy will remain a small portion of Chiles total energy matrix for the foreseeable future, projects in hydropower, biomass, biogas, wind, and solar energy are receiving increased government and private-sector support. Even though none of the presidential candidates has proposed a fully developed plan for addressing Chiles pending energy crisis, Frei, Piera, and Enrquez-Ominami have each proposed measures that would begin to alleviate heavy reliance on fuel imports and increase energy security.

Chile has a choice to make. The next presidents response to Chiles energy dilemma will mean more than debate between environmentalists and the pro-nuclear lobby; it could very well determine the future economic direction of the country.

I think Carbon Energy are on the money when they made this statement:
"Chile provides an ideal market opportunity for Carbon Energy due to the fact that energy demand is forecast to grow at 6-7 per cent over the next 5-10 years and there is an under supply of domestically sourced energy. Chile is highly exposed to increases in the already high price of imported supplies of diesel, natural gas, LNG and coal".


I feel we'll be hearing more positive news over the coming months and years for that matter.

Cheers