Coal seam methane (CSM) is a fuel which is likely to be abundant in Australia, both onshore and offshore, and this industry is full of promise.

Produced water

However, it soon becomes evident that the extraction of CSM requires water and the management of potentially large volumes of groundwater of varying quality called produced water.

This is quite a responsibility.

It may not be evident yet what is the best thing to do with this produced water.

Water on our dry continent is always going to be a sensitive issue; and it should be noted that in the USA the CSM industry has already made mistakes.

I for one am enthusiastic about methane as a fuel, but management of our fragile enviroment and water must come first and every location is likely to have its own issues. See:

• QGC Berwyndale South
• Powder River Basin, USA

DECLARATION OF INTEREST

I have a shareholding in Sydney Gas Ltd (SGL).