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Leigh Creek Energy Ltd

Leigh Creek Energy proves no environmental impacts at syngas demonstration facility in SA

On-site operations team and technical experts continue to manage the development of the gasification chamber toward commercial flow rates.

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The company is beginning a resource upgrade process in quarter four 2018

Leigh Creek Energy Ltd (ASX:LCK) has provided data showing no environmental impacts at its pre-commercial in-situ gasification (ISG) demonstration facility in South Australia.

Environmental monitoring data from the ISG operation at the former Leigh Creek coal field confirmed the pre-commercial demonstration (PCD) was operating as expected, in line with scientific modelling.

The evidence supports the regulator and Leigh Creek’s claim that the process can be undertaken in a safe, regulated and controlled manner and that Leigh Creek is ideally suited to the ISG process.

READ: Leigh Creek Energy to develop large-scale infrastructure projects with Chinese multinational in SA

Leigh Creek managing director Phil Stavely said the results vindicated the decision to voluntarily operate a PCD to prove the technology’s worth as an environmentally sustainable and safe supplier of commercial quantities of syngas.

Stavely said: “We never doubted the environmental credentials of this project.

“We’ve been looking forward to our home-grown team of experts providing the cold hard fats and data, proving this technology can be performed in a safe way.

“These results finally give us an opportunity to do that.”

Results align with expectations

The results align with expected monitoring observations of:

  • No change in pressure in the green zone (greater than 100 metres radius);

  • Minor decrease in pressure and no change in temperature in the amber zone (less than 100 metres radius); and

  • No change in temperature and decreased pressure after ignition in the red zone (less than 15 metres surrounding the gasifier), with inward flow towards the gasifier contained.

The data indicates there are no gas leakages or water contamination and all contents of the demonstration’s gasifier are completely contained.

Pressure and temperature monitoring data has been published on the South Australian Department of Energy and Mines website as required under Leigh Creek’s regulatory obligations.

READ: Leigh Creek Energy moves closer to commercial syngas production in South Australia

Leigh Creek is making significant progress at the pre-commercial in-situ gasification demonstration facility at its Leigh Creek Energy Project, with gas flows continuing for 53 days.

LCK is aiming to produce high-value products such as electricity, methane and fertilisers from the remnant coal resources at Leigh Creek, utilising ISG technologies.

LCK’s recent progress is bringing the company closer to commencing the process to upgrade a portion of its 2,964 2C resource to proven and probable reserve status.

The company’s major objective is to achieve commercial syngas flow and commencement of the resource upgrade process in Q4 2018.

Quick facts: Leigh Creek Energy Ltd

Price: $0.23

Market: ASX
Market Cap: $126.55 m
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