Interesting that Hexagon are thinking of utilising a surface gasification plant. At Leigh Creek there's a pilot underground coal gasification (UCG) plant in operation. UCG has had a chequered history in Australia thus far; Cougar Energy Ltd (asx:CXY; morphed into Morton Resources somehow) was driven out of business in Queensland via what I consider to be some unprincipled wheeler-dealing in government circles, but Link Energy’s various stuff-ups really put the kibosh on UCG in Queensland. Intriguing that they are now pursuing UCG in South Australia. So if the coal deposits now controlled by Hexagon are suitable for UCG then I think that there is merit in their pursuing this option.
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