Ergo Exergy - UCG

UCG Project: Kingaroy, Australia – Cougar Energy Ltd

Cougar Energy Limited is a publicly listed company on the Australian Stock Exchange [ASX: CXY] and is a licensee of Ergo Exergy’s εUCG™ Technology. The company’s business focus is the development of commercial underground coal gasification projects in Australian and international markets. With various developments at different stages of progress, the Kingaroy Project is Cougar Energy’s flagship UCG project.

The Kingaroy εUCG™ Project is located some ten kilometres south of the township of Kingaroy in the Tarong Coal Basin in Queensland, Australia. The gasification process targets two seams ranging from 130 to 300 meters in depth and 2 to 17 meters in thickness. Current assessments indicate 73 million tonnes of JORC compliant resource at the site, enough to support significant commercial gas production.

Under development since 2006, the geological, hydrogeological and rock mechanic properties of the site were thoroughly characterised in preparation for operation. A number of underground monitoring devices are installed on and around the site, to provide operational and environmental data. Ignition of the underground gasifier at Kingaroy was initiated and first gas produced on 15 March 2010.

The gas is fed into a clean-up plant where liquids and particulates are removed to provide a clean gas suitable for power generation. Following the pilot operation, during which significant design data is collected, the gas production will be expanded and power generation facilities built at the site. Cougar Energy plans to install a 400 MWe Combined Cycle Gas Turbine (CCGT) which will provide electricity into the National Grid.

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