The project is the first significant development for CH4 and already holds a 15 year contract to supply up to 290 PJ of Coal bed methane gas to Enertrade, a Queensland Government power corporation.
Enertrade is constructing a 391km pipeline to transport gas from the Moranbah Gas Project to Townsville, where it will be used for electricity generation at Transfield's 220MW Townsville Power Station and by other industrial customers.
The CH4 Group holds a number of exploration and production leases in Queensland covering approximately 7,000km2, centred around the Northern Bowen Basin coalfields.