Global producer of sustainable distributed energy, Energy Developments Limited (EDL), has announced a 20-year contract to build, own and operate a waste coal mine gas (WCMG) power station for Centennial Coal’s Mandalong Mine, which is located in the Lake Macquarie area of New South Wales.
Waste coal mine gas is produced during the coal mining process as methane gas trapped in coal seams is released. As this product can be a safety hazard and a challenge to mining operations, it is extracted by mine ventilation and coal seam drainage.
Historically a waste product that is vented or flared, the extracted methane is used by EDL as a power generation fuel – delivering reliable, sustainable and affordable energy and significantly reducing greenhouse gas emissions.
Once complete in late 2020, the WCMG power station will have installed capacity of 8-Megawatts and convert waste gas extracted during mining operations into electricity to power the mine.
EDL Chief Executive Officer, James Harman, said the company was pleased to welcome Centennial Coal as a new customer.
“For decades, EDL has supported our customers in the mining industry to achieve greenhouse gas abatement and cost savings with our waste coal mine gas power stations,” he said.
“We are delighted to provide Centennial Coal with this reliable, sustainable energy solution and look forward to a long, collaborative partnership.”
Centennial Deputy Chief Executive Officer, Peter Parry, also welcomed the partnership.
“As well as fuelling nearly 40 per cent of NSW’s coal-fired electricity, Centennial is also a significant energy consumer to power our mines.”
“EDL, by converting the methane gas we extract during the process of mining to generate electricity to meet our energy needs, provides a practical and cost-effective arrangement that also reduces our emissions,” Mr Parry said.