Hibba and others interested. The latest on Bloodwood Creek, note...

Hibba and others interested. The latest on Bloodwood Creek, note not Black Wood.

Carbon Energy out of spark
by: Sophie Foster From: The Courier-Mail March 30, 2012 10:00am
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JUST over a month after becoming the first Australian company to export synthetic gas power to a commercial electricity grid, Carbon Energy is suspending operations outside Dalby, letting a handful of staff go.

But the Brisbane-based ASX-listed company expects to be back with a vengeance as soon as it can find a partner for a full-scale underground coal gasification project - a move that if successful would create "hundreds" of permanent jobs.

"We actually think we're now at the point where we can move to full-scale operation," managing director Andrew Dash said.

"Our footprint is just 5 per cent of the same area required for an equivalent coal seam gas development. We have very low impact on other land uses, we're not on strategic cropping land, so we think we've got a very good opportunity here and it's really just about focusing on moving to the next phase."

Mr Gash said there were 18 people at Carbon Energy's UCG plant at Bloodwood Creek, near Dalby.

"We will keep the majority of people there," he said. "There will be a small reduction in the short term, but as I said we're focusing on full commercial development and we could be a very significant employer in that regional community in the medium term."

He said a number of large corporates were interested in power, gas and chemical projects at that location.

"All we want to happen is that UCG be treated like any other development and assessed on its merits, and that the Government go back to working pragmatically with industry to assist in developments," Mr Gash said.

"Certainly like all resource companies, we want to crack on and develop our project, so there is some impetus there required by the new Government to support industry with its development plans."

Mr Gash said synthetic gas (syngas) was a way to deliver cheaper, greener energy.