This is still an untried process of liquefying CBM. Australia is especially keen to be able to turn CBM into LNG to ship out to Pacific and Atlantic Basin markets. The first world CBM-to-LNG plant is due to be built by Gladstone LNG in Queensland. Extracting the gas from the coal bed is relatively straightforward. The biggest problem is that the gas is often accompanied by large amounts of water that have to be disposed of. Also, although the gas wells are relatively cheap to drill, they produce gas at very low volumes. A large development requires thousands of wells. The slow rate of output from coal-bed methane wells creates a potential problem for converting the gas to LNG, because an LNG “train”, as the liquefaction facilities are known, requires a steady throughput of gas to keep it running, and economies of scale mean the most cost-effective trains have to process very high volumes.
03.08.2009

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