Linc trials synthetic aviation fuel

Linc Energy’s chief executive Peter Bond flew to Adelaide this week  on a jet powered by Jet A1 synthetic fuel, displaying an ultimate show of faith in the product produced at a Linc Energy plant on southern Queensland’s western Darling Downs.
The trip was closely observed by the liquefied gas sector and the aviation industry.
The 4300km trip departed from Chinchilla flying to Perth via a number of cities including Adelaide where the company will investigate the feasibility of creating a synthetic fuel plant in the Arckaringa Basin.
“We own a lot of coal in South Australia”, Mr Bond said. “It is a top priority to have a plant in SA and we’ll be looking for the best location in this coming year.”
“Diesel and jet fuel are in high demand and growth” he said. It is estimated that the plant would produce one billion litres a year at a cost of 20 cents a litre – about 25 per cent of production cost of aviation fuel.
The fuel is a produced through an underground coal gasification (UCG) process which burns a coal seam underground, creating a gas. The gas is then moved to the surface where it is converted into a liquid.
A UCG project in South Burnett in Queensland was closed last year because of environmental concerns.
Mr Bond says the cleaner jet fuel could be commercially available by 2014.