sgl finds $10 billion worth of coal seam gas

3 week old atricle but looks like the play for un-noticed NSW coal seam gas company's


3/12/2008 3:09:00 PM
SYDNEY Gas has found an estimated $10 billion worth of coal-seam methane gas under the Hunter Valley and some of that gas is under the Upper Hunter Shire between Scone and Merriwa.
Sydney Gas publicity officer Elizabeth Flaherty said Sydney Gas estimates they have found 25,000 petajoules (PJ) of coal methane gas under the Hunter Valley.

Ms Flaherty said they would continue to explore and assess the viability of the gas until 2011.

She said they may find they could only use 10,000 to 12,000 PJ.

But this was still a significant amount of gas considering the Sydney gas market has been supplied with 2000 PJ for 30 years.

Ms Flaherty was optimistic that Sydney Gas would find adequate gas reserves in the Upper Hunter and said the company was currently drilling a core hole near Gungal and another core hole had been approved for a site at Rossgole.

But Ms Flaherty said even if gas was found at these sites it would need to be tested for permeability as they could not use gas that had water in it.

The gas also could not be used if there was coal mining happening at the site of the gas reserves.

Ms Flaherty said because of this, some of the residents from the Upper Hunter who have been approached by Sydney Gas have welcomed the proposal because it would mean they would not have to contend with a coal mine should the gas well be built.

Gas wells are already in place and pumping gas at Camden and were about the size of a small shed and household water tank.

http://scone.yourguide.com.au/news/local/news/general/gas-find-under-shire/1376801.aspx