Wednesday, March 10, 2010
   
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UCG project moves ahead

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Clean Global Energy considers sites for Syngas production

Clean Global Energy is on track to pursue its first commercial underground coal gasification (UCG) project in Victoria's Gippsland Basin.

CGE has identified a number of potential UCG sites on Greenpower Energy's Victorian coal tenements and has issued an initial selection notice to Greenpower over EL4500 under an existing Heads of Agreement entered into in August 2009.

It is proposed that the current HoA with Greenpower will be converted into a formal joint venture agreement on the same terms and conditions as the existing HoA.

CGE has commenced work on a site characterisation and analysis program to identify the ideal location on Greenpower's coal tenements for the planned UCG project. This is the first step in working towards a UCG pilot plant capable of producing large quantities of Syngas.

CGE has also commenced discussions with third parties to participate in the development of a new 400mw UCG Syngas-fed power station for Victoria.

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