AUSTRALIAN PROJECTS
Queensland
Fast facts
- Linc Energy operates its Chinchilla Demonstration Facility under Queensland Government Mineral Development Licence (MDL)
- The Chinchilla Demonstration Facility was established to prove that UCG and GTL technologies can be combined to produce cleaner power and fuels
- The facility boasts four UCG generators and GTL production runs of up to 150 consecutive hours
- An on-site laboratory allows immediate gas and product analysis for process improvements
- The facility remains an important R&D centre as Linc Energy looks to establish its first commercial operation, planned for South Australia.
Linc Energy has been active in the Surat Basin, near Chinchilla, for over 10 years with its Underground Coal Gasification (UCG) technology. Gas to Liquids (GTL) operations began in 2008.
UCG operations began in July 1999 with the first UCG trial field, Generator 1. The first synthesis gas (syngas) was produced later that year. Since that time, Linc Energy has developed another three generators. A benchmark for UCG technology around the world, Generator 4 was recently established to supply syngas for Linc Energy’s GTL demonstration plant. Generator 4 incorporates many new design features and will generate twice as much syngas as the now exhausted Generator 3. Generator 4 is expected to run for the next two years.
Construction of the GTL demonstration plant to produce cleaner fuels from UCG syngas began in October 2007. During construction, a laboratory was established on-site to complement the development of Linc Energy’s technologies. The laboratory provides UCG and GTL operations with 24/7 support to deliver fast results for technical improvement and development.
Construction of the GTL demonstration plant and laboratory was completed by August 2008. The plant was commissioned and on 14 October 2008 the first liquid hydrocarbons were produced.
The Chinchilla Demonstration Facility was officially opened by the Federal Minister for Resources and Energy, The Honourable Martin Ferguson AM MP. A world-class facility, it proves that UCG syngas, from coal deep underground, can be used to produce cleaner liquid fuels and other energy products. While Linc Energy continues analysis of where its first commercial operation will be established in South Australia, the Chinchilla Demonstration Facility remains important for research and development.
“Australia is coal and gas rich, with hundreds of years of reserves. Technologies that convert coal and gas to ultra-clean diesel and jet fuel have the potential to replace Australia’s declining oil reserves and make us self-sufficient in liquid transport fuels once again. This technology [UCG] unlocks energy from Australia's significant stranded and uneconomic coal reserves and has the potential to dramatically reduce Australia's dependence upon imported oil and refined products.”
The Honourable Martin Ferguson AM MP, Federal Minister for Resources and Energy
22 April 2009
South Australia
Fast facts
- Linc Energy has discovered a significant coal exploration target of 1.0 to 1.3 billion tonnes in the Walloway Basin, South Australia
- Further drilling, exploration, feasibility and design work is underway to prioritise a location for Linc Energy’s first commercial UCG to GTL operation
- Linc Energy anticipates it will commence commercial UCG operations in the Walloway Basin for power generation first, followed by GTL for fuel production. A commercial project will be executed in three stages
- Drilling in the Arckaringa Basin has revealed ‘oil shows’. Linc Energy is now planning to conduct further drilling to gain more information.
Linc Energy is pursuing the commercialisation of its Underground Coal Gasification (UCG) and Gas to Liquids (GTL) technologies to provide cleaner power generation and fuel production for Australia and the world.
In October 2008, Linc Energy acquired South Australia petroleum and gas explorer, SAPEX Limited. The acquisition provided Linc Energy with access to Petroleum Exploration Licences and Exploration Licences across the Arckaringa, St Vincent and Walloway Basins in South Australia. Drilling began in the Arckaringa and Walloway Basins in mid-2009.
In November 2009, Linc Energy announced it discovered a significant lignite coal exploration target of 1.0 to 1.3 billion tonnes. Further drilling is now underway in the Walloway Basin to gain technical details of the geology, formation structure and physical parameters of the coal. This work supports Linc Energy’s UCG team identify the most suitable sites for commercialisation in the basin. Work towards Linc Energy’s environmental approvals is also underway, as is the conceptual design study for Linc Energy’s first GTL commercial plant.
Linc Energy intends to execute a commercial UCG project for the Walloway Basin based on the following three stages:
- Stage 1: Pre-production – including the construction and commissioning of UCG Generator 5 to gain valuable site specific UCG gas generation experience.
- Stage 2: Power generation – including the production of approximately 15 petajoules per annum of UCG gas for up to 250 megawatts of power.
- Stage 3: Increase UCG gas production to support GTL synthetic fuel production.
During February 2010, drilling in the Arckaringa Basin also revealed ‘oil shows’. Linc Energy will now plan to conduct further drilling to gain more information.
For further information on the South Australian project, click here.
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