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Molopo tests Stratford gas quality
Gas seam producer Molopo is in the first stages of establishing the viability of its coal bed methane gas project at Stratford, north of Newcastle.

The company has started testing the quality of gas being extracted from one of its trial wells, with a second one due to come on line shortly.

Molopo is one of two companies involved in methane gas projects in the Hunter Valley - the Sydney Gas Company is conducting a similar test drilling program near Singleton.

The executive director of operations, David Casey, says the viability of the project will not be known for at least six months.

"You need to have a sustained period of gas and water production to do some basic modelling to ascertain your reserves in place which will then allow you to make some decisions for future programs," he said.

"This is the first of what will be a number of steps to prove up a resource base to either underpin power generation options, or the construction of a pipeline down to