The site

Energy Developments’ (EDL) German Creek coal mine methane power generation project is at Anglo Coal’s German Creek coal mine in the Bowen Basin in central Queensland. The plant is located close to the underground mine to utilise pre-drainage and goaf* gas from mining operations. Coal mine methane occurs naturally and needs to be extracted as it poses a major safety hazard in underground mines.

Technology

EDL has demonstrated expertise in the management of varying gas quality and quantity. Coal mine methane can vary in quality from goaf at 50 per cent methane content to in-seam drainage at more than 90 per cent methane content. By applying its landfill gas extraction and handling technologies, EDL tunes and manages the power plant to maintain availability and output to capture and combust the gas efficiently and safely.

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Energy purchase and supply

The power station operates as baseload when possible depending on fuel supply/availability, and is registered as a market non-scheduled generator on the National Electricity Market. Exemption from being a scheduled generator was granted as generation capacity and electricity output depend on fuel availability (as no supplementary fuel supply is provided at the site). German Creek is accredited under the NSW Greenhouse Gas Abatement Scheme. It is expected that the project will export at least 250,000 MWh per annum. The generators operate in parallel at 690 V, which is stepped up to 22 kV, and then 66 kV, where the power is then exported into the 66 kV system owned by Anglo Coal. The site is interconnected to the Ergon Energy transmission network.

Environmental impact

Power generation from coal waste methane not only prevents harmful methane gas (with a high greenhouse warming potential) from entering the atmosphere, but it also capitalises on the recoverable energy content of the waste gas (rather than flaring), thereby creating revenue through electricity generation and displacing electricity from more greenhouse intensive sources. The project is expected to save up to one million tonnes per annum of greenhouse gas emissions - equivalent to removing over 232,000 cars from our roads.

Success of the project to date

Completion of the project was a major achievement in the face of challenges such as securing affordable construction materials and labour in the booming Queensland market. It is the second project of its type for EDL.

Funding arrangements and acknowledgements

The project was completed with the assistance of a $15 million grant from the Australian Government under its Greenhouse Gas Abatement program, supplemented by debt and cash reserves.

“Energy Development’s German Creek coal mine methane power project is an excellent example of how reducing emissions through sustainable power generation is not only environmentally desirable but can also be economically beneficial, particularly in regional and remote areas.”

Kirsten Livermore MP, Federal Member for Capricornia

*Goaf: That part of a mine from which the mineral has been partially or wholly removed.