Ergo Exergy - UCG

March 15, 2010

Successful ignition of pilot plant at Cougar Energy’s εUCG™ project in Kingaroy

The Kingaroy εUCG™ project, under development by Cougar Energy Limited in Queensland, Australia, has achieved successful ignition of the underground gasifier and first production of εUCG™ syngas. Utilising Ergo Exergy’s proprietary εUCG™ technology and experienced staff on the ground, the ignition process went according to plan and the production of syngas was confirmed. This ignition represents the second successful ignition for Ergo Exergy in Australia, both being conducted in association with Managing Director and CEO of Cougar Energy, Dr. Len Walker. The UCG trial at Chinchilla from 1999 to 2002, initiated by Dr. Walker and designed and operated by Ergo Exergy, was at the time, the largest and longest UCG project ever conducted in the Western World. Cougar Energy will collect data from the Kingaroy operation for at least six months, which will allow for design and construction of the planned commercial expansion. The Kingaroy εUCG™ project plans to develop a state of the art, Combined Cycle Gas Turbine (CCGT) power plant for electricity generation fuelled by εUCG™ syngas.

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