The Darling Downs is set to experience a gas bonanza after the approval of two LNG projects worth more than $20 billion. Supplied
THE Federal Government ushered in a new era for the Darling Downs yesterday afternoon with the approval of two gas projects worth more than $20 billion.
Sustainability Minister Tony Burke approved the Queensland Gas and the Santos-led GLNG liquefied natural gas projects, which together are expected to employ more than 10,000 people and inject $6 billion a year into the Queensland economy.
Mr Burke also imposed harsh guidelines on the treatment and management of water and salt, both unwanted by-products of coal seam gas production.
They are expected to cost the companies upwards of $20 million to implement.
The guidelines have gone some way to quelling the concerns of groups representing environmental and farming interests.
Coal seam gas will be piped from about 8600 wells in the Surat Basin, the coal-rich energy province stretching across the Western and Darling Downs, to LNG plants at Gladstone.
Chinchilla-based property developer Warren Daniells said the ensuing “gas rush” was expected to trigger unprecedented investment in Western Downs towns such as Chinchilla, Miles and Dalby.
“We’ve been waiting for two or three years for such a major announcement,” Mr Daniells said.
“Now that it’s here, I think the strong undercurrent of investor interest is going to bubble to the surface in the form of real investment and action.”
Both companies are expected to make financial commitments before the end of the year.
Production could start as early as 2014.
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