CRC Mining will also consider alternative options that “provide the best value to CBMI”, CRCMining’s spin-off company which owns the intellectual property for TRD, and its stakeholders.

CBMI is jointly controlled by BHP Billiton Mitsui Coal (BMC) and CRCMining. BMC is a joint venture between BHP Billiton Limited (80%) and Mitsui and Co (20%) which currently operates the South Walker Creek and Poitrel mines in the Bowen Basin.

The TRD system, which drills using high pressure water jets connected to the surface via a flexible hose, is deployed from a conventionally drilled vertical well to excavate a series of lateral holes in coal seams. These holes then allow the gases that are trapped in the seam to be drained.

The technology can be used for the commercial CSG production as well as for seam drainage ahead of coal mining operations.

The TRD technology, which includes a number of awarded and pending patents, provides multiple seam stimulation, and the multiple 300m-plus laterals means redundancy and flexibility in difficult geology, with no 'mud cake' skin effects. It also provides the ability to connect to the reservoir and to overcome near wellbore effects.

Economically, the superior connectivity and coverage means more gas sooner and greater cumulative production; while independent modelling suggests that TRD is the only technology that can make pre-gas drainage of open cut mines economic, as well as enabling lower cost gas drainage for underground coal mines.

The environmental benefits are that TRD has a controllable stimulation technique which allows the tool to be steered in the seam; no additives are required; and it reduces the total number of wells required and thus increased surface spacing of wells (reduced surface infrastructure). It also allows for a compact well site footprint.

Safety-wise, jetting is done by remote control; only three site personnel are required to run the entire system; and it operates with secondary well control blow out preventers.

Continuous drilling also eliminates drill rod handling during drilling, while TRD uses clean bore water, with no chemicals.

CRCMining says it operates differently to other research centres, with a unique business model of collaboration and partnerships with leading mining companies, original equipment manufacturers (OEMs) and universities to achieve industry-focused outcomes.

CRCMining members comprise the largest mining companies and OEMs in the world, and globally recognised research universities.