Cougar Energy specialises in underground coal gasification(UCG) and electricity generation.
Cougar Energy prepares Kingaroy pilot project for production
Australian-based Cougar Energy (ASX: CXY) has announced that commissioning of the Kingaroy UCG pilot plant construction in Queensland has kicked off, following Practical Completion of the construction stage.
The pilot plant remains on schedule to start producing gas late in February/early in March. Since the Company’s previous update, the site construction works have been completed on schedule and on budget.
During the afternoon trade, shares in the company increased slightly to 10c.
John Henderson, Cougar Energy’s Manager – UCG Projects, said the company's staff and contracting partners worked well together to deliver an exceedingly high-quality plant on schedule.
"This was while achieving an impeccable safety record and implementing a positive community consultation program," Mr Henderson said.
Cougar Technology Manager and Kingaroy Site Manager Andrew Brown said the final testing of the coal seam permeability was also conducted last week.
"The result from this testing at the new fourth production well was very positive and increases our confidence that we will have a smooth and successful start-up at Kingaroy," Mr Brown said.
The Kingaroy UCG site will provide competitive base load electricity to the Australian domestic market given that the costs of production are about half the cost of natural gas (subject to receiving final approvals from the Queensland Government for the commercial plant).
“We benefit from much lower capital expenditures than comparative technologies and do not have to build expensive materials handling, water treatment or gas transportation
Cougar Energy Limited is an Australian company at the forefront of progressing the development and commercialisation of Underground Coal Gasification (UCG) projects, using the world’s best proven technology.
The UCG process converts coal in-situ into a gas which can be used as a fuel for power generation or for conversion into a range of petrochemical products and gas-to-liquid solutions.
