In an interview with Market Eye, managing director Peter Henderson said despite the company’s 2013 planned program being fully funded it was aware of rising costs in the industry.

“As a result [of Metgasco’s 100% independently owned reserves] we are in the fortunate position of being able to consider all funding options to ensure shareholder value is maximised,” he said.

“One such option, given the size of Metgasco’s reserves and resources, is to bring in a large joint venture partner via a farm-in agreement.”

The company is drilling the Thornbill E04, its first since the release of the New South Wales government’s detailed reviews supporting the development of a CSG industry.

Plans for the company over the next 12 months include completing two core wells, three CSG wells and a conventional exploration well.

Henderson reportedly said the main aim of 2013 was to take the company into a production phase.

“Our overall objective this year is to take Metgasco from the exploration phase to the commercial-production phase,” he told Market Eye.

He said the company had endured setbacks to its plans including rig availability, approvals and protests.

As well as a bomb threat in December, there has been a protest over CSG at the Glenugie site which has passed the 60-day mark.

Henderson said the company believed it had the broad support of a cross section of the community it was working in, despite reports that there had been no consultation with the local community.

Glenugie cattle farmer Ray Franklin was quoted by the ABC as saying there had been no attempt to talk to local farmers.

“That’s my biggest argument, why on earth haven’t I been approached when the coal seam they’re going to be drilling actually comes out of the ground in my property,” he said.

The ABC reported Metgasco spokesperson Richard Shield saying any attempt to communicate with the community would be hijacked.

“When we have an open forum, the open forum gets hijacked,” he reportedly said.

“They don’t allow us to have our say.”

Henderson reportedly said the company had some help from local farmers and had programs approved by the NSW government.

“They do not accept the outcomes of the extensive review undertaken by the NSW government which identified that CSG operations are safe,” he allegedly said.