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australian article coal seam gas deal

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    http://www.theaustralian.news.com.au/story/0,20867,22024476-643,00.html

    Westralian, ERM in coal-seam gas deal

    July 06, 2007

    DIVERSIFIED energy explorer Westralian Gas and Power has signed a deal with ERM Gas, which could result in the supply of coal-seam gas to Western Australian power stations.
    ERM Gas has the option of exploring Westralian Gas's coal-seam gas leases in southwest WA and funding their development with the intention of supplying gas to power stations.

    ERM Gas is a wholly owned subsidiary of ERM Power, a developer of gas-fired power stations.

    Westralian Gas chairman Peter Briggs said that with a partner like ERM Gas, exploration should move rapidly.

    "There is a gas shortage in Perth, and supply of gas to power generation is a perfect fit for both Westralian and ERM," Mr Briggs said. ERM Power has interests in about 1700mW of gas-fired power generation in operation or under construction, with several more major projects in planning.

    Westralian Gas has a portfolio of coal-seam gas and oil and gas assets, and it is investigating carbon dioxide geosequestration.

    "Westralian is committed to building its energy portfolio by seizing further energy opportunities through increased exploration and beneficial free-carry partnership arrangements such as with ERM Gas," Mr Briggs said.

    "This will allow Westralian to carry out more exploration and drive other operations through to production."

    Westralian Gas shares closed up 0.5c at 15.5c.

    AAP

 
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