Gas Today - Carbon Energy has successfully confirmed the â€˜Proof of Conceptâ€™ for its proprietary keyseam UCG technology with over twelve monthsâ€™ continuous production of consistent high quality syngas, the reliable generation of electricity, and commercialisation by export into the local grid from its Bloodwood Creek project site near Dalby in southwest Queensland.
In achieving Proof of Concept, the company has demonstrated the following key elements:
- Drilling and construction of Carbon Energyâ€™s unique panel design
- Ignition and commissioning of two UCG panels
- Twelve monthsâ€™ continuous syngas production from UCG Panel 2
- Consistent production of high-quality syngas
- Reliable operation of internal combustion engine-driven electricity generators
- Reliable export of electricity to the local electricity grid
- Validation of gasification prediction models with operational data
- Validated that panels adjacent to each other can operate independently
- Management of groundwater during operations
- Panel shutdown and progressive rehabilitation is underway.
Carbon Energy said it is now well placed to realise value through commercialising the technology after having invested approximately $100 million and five years in its development, in addition to 10 years of research by the CSIRO.
Following a strategic review which confirmed the companyâ€™s strategic direction, Carbon Energy said it would actively pursue commercial-scale projects with coal owners and energy end users (including electricity, chemicals and liquids) both in Australia and offshore in addition to its current projects in Chile, North America and Europe.
The company also said that it would work with the newly formed Queensland Government to obtain approvals required to develop Bloodwood Creek to a commercial-scale project. The company is currently seeking partners to help realise value from its existing gas assets at the project site.