Government funds help coal industry strive for cleaner future

Mines and Petroleum Minister Norman Moore today announced a new study examining the potential for carbon capture and storage in the State's South West.

Mr Moore said that the 'Lower Lesueur Carbon Dioxide Geosequestration Study', a desktop analysis of the suitability of locations to store carbon dioxide in the Southern Perth Basin between Bunbury and Mandurah, could also help in developing clean coal technology.

The State Government would contribute $250,000 towards the $522,000 analysis to study seismic data and existing well cores to help identify potential injection points and migration behaviour of carbon dioxide.

The Minister said industry would provide the rest of the funding for the study which was formalised in a Memorandum of Understanding between the Department of Mines and Petroleum and five companies including: Griffin Energy, Verve Energy, BHP-Billiton Worsley Alumina, Wesfarmers Premier Coal and Perdaman Chemicals and Fertilisers.

"The study's results will determine if work progresses to drilling and assessing a test hole for carbon dioxide storage, as well as a pilot injection and monitoring program," he said.

Carbon Storage Solutions Pty Ltd, a division of international oilfield services provider Schlumberger, will carry out the 12-month study which began in May.

The work follows earlier research by the Cooperative Research Centre for Greenhouse Gas Technologies which identified the geosequestration potential of the Southern Perth Basin.

Mr Moore said the study was a valuable investment for Western Australia's coal industry and supported the Federal Government's carbon capture and storage priorities.

"This study supports the Federal Government's National Low Emissions Coal Strategy, which is focused on driving the deployment of low emission coal technologies," he said.

"Geosequestration is being seriously considered world-wide as a means of reducing the volume of carbon dioxide released into the atmosphere.

"Examining the effectiveness of this clean coal technology through the Lower Lesueur study will help contribute to the long-term viability of WA's coal industry and also to the Government's commitment to a low emissions future."