- Stanmore Resources will capture future fugitive emissions from an open-cut coal mine
- The Queensland-first project is the first announcement under the $520 million Low Emissions Investment Partnerships (LEIP) program.
- The pilot project includes a 20MW gas-fired power station
An industry-leading emissions reduction project from Stanmore Resources is the first project to be funded through the Miles Labor Government’s $520 million Low Emissions Investment Partnerships (LEIP) program.
The project aims to capture coal seam methane at the South Walker Creek metallurgical coal mine near Nebo and transform it into electricity.
LEIP is Queensland coal royalties being reinvested in regional Queensland to accelerate the decarbonisation of the resources sector.
Underground coal mining already traps fugitive gas prior to coal extraction and Stanmore is now applying the same technology at an open cut mine.
If successful, the project could pave the way for a faster emissions reduction across the broader coal sector.
The project will operate for at least 15 years, with construction of a new 20-megawatt coal seam gas-fired power station at the South Walker Creek mine expected to be completed by 2027.
That power station will offset South Walker Creek’s entire electricity requirements and employ 30 people during construction, on top of the mine’s existing workforce of 1,200.
The Miles Government’s LEIP investment demonstrates its strong commitment to a low-carbon mining sector.
As stated by the Deputy Premier, Treasurer and Minister for Trade and Investment Cameron Dick:
“Our Government is absolutely committed to our 75 by 35 emissions reduction target, and to a strong future for the resources sector across Queensland.
“The LEIP program is investing in innovations that will reduce emissions that occur through the mining process that supplies the coal we need for steelmaking.
“Queensland’s high-quality metallurgical coal is a vital element in producing the world’s renewable energy infrastructure such as wind turbines and electric vehicles.
“The application of proven technologies to capture and convert gas at South Walker Creek has the potential to accelerate Queensland’s decarbonisation.
As stated by the Stanmore Resources Chief Executive Officer and Executive Director Marcelo Matos:
“Stanmore is excited by this project and welcomes the support of the Queensland Government.
“The project will take methane from the coal seam and convert it into a long-term stable power solution to the mine, whilst continuing to produce and deliver high-quality metallurgical coal to our customers.”
