qgc are affraid of the potential of ucg.if ucg proves to be more...

qgc are affraid of the potential of ucg.

if ucg proves to be more beneficial to the state of queensland than cbm/csm then the government is likely to award more coal tenements for ucg exploration.

so qgc are trying to nip ucg in the bud before linc has the chance to prove ucg's worth and environmental credentials.

best way to do that is via a fear campaign by siding up to the greens and their sympathisers in the media.

BUT australia is devoid of oil and ucg has given australia the opportunity to arrest the balance of trade with regard to oil and more specifically diesel imports.

this ucg diesel and jet fuel wont be exported, it will be sold into the australian market.

on the other hand, cbm lng will be predominately for the export market via long term sales agreements.

qgc must also be concerned about the possibility of TERESA providing linc with a circa $2 billion war chest. this will provide linc with financing for chinchillas 20,000bpd facility and approx $1 billion for other opportunities.

when qgc are trying to get their hands on 7500 pj's for their lng commitments linc with its significant cash position will be an unwanted competitor for coal resouces not only from government granted tenements as mentioned above but in the takeover/merger arena.

lets not forget that aoe have sided with linc and the court issue is between aoe and qgc with linc being the 3rd party.

monday monday, "will it be all that we hoped it to be(?)", oh monday mornin'.

chins up.

cheers