L&M Energy is applying for a permit to explore the potential for gasifying coal underground over a 2112sq km area stretching north and south of Hamilton.South of Hamilton the area being sought overlaps an area where L&M has a licence to explore fo
L&M Energy is applying for a permit to explore the potential for gasifying coal underground over a 2112sq km area stretching north and south of Hamilton.
South of Hamilton the area being sought overlaps an area where L&M has a licence to explore for coal seam gas .
Kent Anson, L&M's managing director for coal seam gas, said the company had intellectual property from drilling in the south Waikato permit which it could use to its advantage.
While the company was first and foremost pursuing coal seam gas, it had earmarked some areas with a potential for underground coal gasification.
Russia and a few other countries had been developing underground gasification for some time and some companies were pursuing the technology in Australia, Mr Anson said.
Waikato was judged to be the most prospective in this country for underground coal gasification technology because of the large resource of available coal, along with a gas pipeline system passing through the permit area to supply Auckland.
While L&M has said its main longer term focus is on exploration in the North Island, for the coming year it is focusing on its coal seam gas exploration programme in Southland.
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