Coal seam gas - black gold bonanza for Toowoomba region ...

Excerpt from the Chronicle:

Black gold bonanza for region

10 September 2008

Gas processing plants similar to this are expected to emerge all over the Darling Downs.

The Surat Basin coal seam gas mining rush is here and will forever change the face of Toowoomba and the Darling Downs.

The figures are astounding.

Dalby Regional Council mayor Ray Brown has seen projections that up to 16,000 workers will be solely employed in the mining industry by 2016.

Cr Brown said the flow-on effect would be up to 100,000 new residents coming to live across the Surat Basin, including Miles, Chinchilla, Dalby and Toowoomba.

On Monday, Origin Energy announced that US oil and gas giant ConocoPhillips had pledged $9.6 billion for a half share in their coal seam gas (CSG) and liquefied natural gas (CGS) projects.

By 2011, the Surat Basin will be Australia's largest energy province and the 40 billion tonnes of untapped resources will be exported around the world.

Surat Basin Developments directors Greg West and Warren Daniells, who are both fourth generation Chinchilla residents, said they predicted Chinchilla's population to increase threefold from the present 6200 over the next 20 years.

Over the past six weeks, they have seen massive changes to the market as investors roll into town and companies snap up housing accommodation for their workers.

Mr West said the town's weekly average of 100 available rental properties had now all disappeared and been replaced by a growing waiting list.

"Unit rental prices have also increased from $250 weekly to $500 in town just in the last month.

"We're very passionate from a developer's point of view to ensure the growth is sustainable."

Ausco Building Systems is currently putting a development application through Dalby council for a 660-person camp in Zeller Street, Chinchilla. Ausco account manager Myke Cavanagh said they had their eye on Origin Energy to hopefully become their main tenants.

Ausco has also turned the old Kogan Creek manager's site at Windmill Road into a 170-person site for Origin Energy.

See - Black gold bonanza for region.