Coal Seam Gas - Fact Sheet

What is Coal Seam Gas?

Often referred to as Unconventional Gas, Coal Seam Gas (CSG) or Coal Bed Methane (CBM) and not to be confused with Natural Gas, it is methane gas found in coal seams. The coal seam normally acts as a water aquifer and the methane gas is trapped in the coal by the water.

Methane gas has no smell, it will asphyxiate and is highly explosive, which is why coal miners are fearful of it, as are landholders who find the bores or tap water supplies become flammable.

Methane gas is a greenhouse gas more than 20 times worse than CO2. When burnt, methane produces 40% less greenhouse gas than coal, however the process of removing it from the coal seam sees a large amount of fugitive methane escaping into the atmosphere, so any perceived benefit is nullified.

How is Methane Gas extracted from a Coal Seam?

Coal seam gas is accessed via wells, drilled down into and, in some cases, along the coal seams. Large quantities of underground water are removed to release the gas. The process is sometimes sped-up using the controversial hydraulic fracturing (fracking) method:  a slurry of sand, chemicals and water is injected underground at high pressure to shatter the coal seam and rock. Some of the chemicals used in the extraction are toxic and known to cause cancer. The Queensland and New South Wales Governments have banned the use of  ‘BTEX’ chemicals – a combination of benzene, toluene, ethylbenzene and xylene – in fracking[18],  but experts warn these compounds already exist in coal seams,  potentially risking contamination of aquifers underground, surface water and soil.[4][15] ‘Doctors for the Environment Australia’ group says BTEX are often brought to the surface during gas extraction, as are other volatile organic compounds and radioactive substances. Traces of BTEX were detected in water samples at a CSG project in Queensland in October 2010, raising concerns of risk to water supplies and human health[16]. State Government investigations showed the incident arose during exploratory drilling for CSG. Livestock have also been contaminated at Kingaroy.  These concerns and others have resulted in a total ban on fracking in France and a temporary ban in New South Wales, South Africa and parts of the USA.

Underground coal gasification: a risky gas extraction method also being investigated for our Scenic Rim

Underground Coal Gasification (UCG) involves setting fire to previously inaccessible underground coal seams and harvesting the resulting produced gas. The controversial process has been used with mixed results in the Soviet Union and the Queensland government had allowed three trial sites close to Kingaroy.  After a series of acknowledged issues – including chemical contamination of bore water and stock, and contamination of a creek resulting in numerous dead turtles - one of those trials has been shut down by the Government and two operators have been charged with contamination and failing to disclose contamination. One of the operators charged, Carbon Energy, is considering underground gasification in the Scenic Rim (EPC 1109 from south of Beaudesert to Lamington).

Other Issues arising from coal seam gas extraction:

Waste water and aquifer cross-contamination:

For a long time, Australia’s gas industry has denied it may be responsible for contamination, but this changed recently with a spokesperson for the Australian Petroleum Production and Exploration Association admitting aquifer contamination was inevitable.  Ross Dunn said this week (Aug 2, 2011) that "good management could minimise the risks of water contamination, but never eliminate them".  ''Drilling will, to varying degrees, impact on adjoining aquifers,'' said Mr Dunn, ''The extent of impact and whether the impact can be managed is the question.''

Gas production also results in significant quantities of toxic, highly saline, contaminated waste water, which must be transported from the well site by road tanker for treatment and disposal. Unlike farmers, Queensland mining companies do not need a water licence or face restrictions on the amount of water they can remove.  Farmers and their representatives (including the National Farmers Federation and Agforce) have raised concerns about depletion of valuable underground reserves and mining company ‘make-good’ provisions when underground supplies fail.  This includes drilling agricultural bores deeper or the last resort of trucking in supplies. 

From 2012, the Queensland government will require gas companies to ‘treat’ waste water for reuse.  It is expected this will be done by reverse osmosis, although in the United States, there are known issues relating to chemicals in ‘frack water’ destroying filters and making this method unreliable.  The Queensland Government has authorised  the use of treated ‘waste water’  for town supplies, including drinking; aquaculture;  recharging aquifers;  wetlands; recreational lakes or at mining operations and power stations.  Recent practice has been for poor quality water to be contained in storage ponds[12] .  It is expected some of these will remain for the short term, despite proven examples of contamination of land, surface water and livestock.

Noise and infrastructure – Coal seam gas production is not just a little hole in the ground: full scale gas extraction involves extensive infrastructure, threatening home-life and agricultural practices:

In Queensland, gas wells can be drilled 100m from residential housing, 400-1000m apart, with access roads and possibly pipelines and new power lines crossing your land. Where grid supplies are unavailable, large generators are used to power pumps.  Gas and waste water is most often removed by trucks (see picture above – a typical Icon Energy ‘frac set-up’).  These trucks must travel through our communities to their designated pipeline feed-point or water treatment plant as dramatically highlighted by this US documentary excerpt.

24-hour compressor stations are used at regular intervals to move gas along the pipelines and to separate unwanted hydrocarbons from the gas.  These are vented into the atmosphere, despite being known to cause cancer. An online search of  existing Queenland gas operations at Tara and on the Darling Downs shows many residents struggle to live with the low-grade noise from 24/hour compressor stations, even if they are several kilometres away.

To understand more about living with gas wells and their associated infrastructure, please read these real-life accounts from Darling Downs residents:

Katie Lloyd recently described how gas wells have impacted on her family life and cattle feedlot business – including living with ‘strangers’ who now work on their land and use their driveway for access to wells, passing close to her house.  All privacy is lost and she no longer feels it is safe for her children to play outside or ride their bikes in their backyard unsupervised.

 Read about the Lloyd Family’s experience >>

Anne Bridle’s submission to the recent Senate Inquiry into coal seam gas describes in detail the problems she and her husband face, juggling gas company rights with the operation of their large scale Santa Gertrudis cattle stud, south of Dalby. The family is facing numerous challenges including contamination of their aquifer water supply – admitted by the gas company (PDF 820KB) 

Your health and safety - There are many hazards involved with CSG extraction. The water taken from the coal seam is toxic and must be handled with extreme care. Doctors for the Environment Australia has warned of potential long-term coal seam gas related hazards including cancer and deformities in its submission to the coal seam gas senate inquiry.

After the water has been removed from the coal seam, the dynamics of the coal seam have been changed causing the methane to be freed up and migrate: the hope is that all the methane will find its way up to the well head, however rocks can and do have fault lines by which the methane can find alternate avenues to the surface. There are many instances of methane coming out of people’s taps. CSG wells and pipelines are fire hazards; over 50% of wells tested in Queensland’s Tara Estate leak methane. CSG wells do sometimes catch fire and explode. Once the methane has been freed up from the coal, nothing will stop it flowing.

Is your property under exploration licence? Go to the State Government's website or look on our maps

http://www.dme.qld.gov.au/mines/tenure_maps.cfm