Qld Government Boosts Waste Gas-to-Energy Project with Major Investment

The Queensland Government is backing Kestrel Coal Resources’ innovative coal mine waste gas-to-electricity project, part of its $520 million Low Emissions Investment Partnerships (LEIP) program. This investment aligns with the state’s mission to reduce emissions and advance cleaner energy solutions.

Kestrel’s project will expand the underground mine's gas drainage system to capture more fugitive emissions, preventing harmful gases from entering the atmosphere. The initiative is expected to cut the mine’s emissions by over one million tonnes within the next eight years.

Once completed, a 30MW power station will be constructed at the Kestrel mine, located north of Emerald. The station will generate enough electricity to power more than 40,000 homes, offering a significant step forward in cleaner energy generation from coal waste.

Kestrel Coal Resources is the second major partner in the Queensland Government’s LEIP program, which accelerates emissions reduction in the state’s largest industrial facilities. By fostering private sector collaboration, LEIP fast-tracks investment in projects that bring Queensland closer to its net-zero goals.

The waste gas-to-energy project is expected to create approximately 160 new jobs, adding to Kestrel mine’s existing workforce of 700. With full operations anticipated by 2026, the initiative is not only focused on emissions reduction but also on strengthening Queensland's regional job market.

Queensland Deputy Premier Cameron Dick emphasized the importance of the metallurgical coal industry in producing the steel necessary for building renewable technologies. “The LEIP program is crucial in driving down emissions while supporting jobs and an industry that will help shape our renewable energy future,” he stated.

Kestrel Coal Resources CEO, Shane Hansen, underscored the company’s commitment to emissions reduction through innovative projects. “This funding is vital to our decarbonization strategy, and the partnership with Queensland Treasury and the LEIP program reinforces our commitment to sustainable steelmaking,” Hansen said.

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