Leigh Creek Energy Ltd (ASX:LCK) has extracted commercial quantities of synthetic gas at its former Leigh Creek coal mine site for the first time, unlocking a considerable reserve.
The reserve status will enable the company to access South Australia’s largest gas resource for commercial development outside the Cooper Basin.
Objectives completed for pre-commercial demonstration facility
Leigh Creek Energy director Phil Staveley said: “We have now achieved all our stated objectives for the PCD, which are significant milestones that unlock a large energy resource and captures key data that proves this disruptive technology will be successful in commercial application.
“This data will enable the company to quickly move toward upgrading a portion of its current resource to bankable reserves, a key step that is required for the company to progress to commercial operations.”
PCD design parameters
Leigh Creek achieved and in some cases exceeded the design parameters and objectives for the pre-commercial demonstration, which are as follows:
Produce syngas comprising carbon monoxide, methane, nitrogen and hydrogen;
Capture information required to upgrade the existing resource to bankable reserves;
Produce syngas at over 1 million cubic feet per day;
Demonstrate that LCK can operate the ISG gasifier safely and in an environmentally responsible manner; and
Provide key data and information for the development of the commercial project.
- Jessica Cummins