Carbon Energy Underground Coal Gasification Trial Update

Carbon Energy (ASX: CNX) is undertaking a 100 day commercial scale Underground Coal
Gasification (UCG) trial at Bloodwood Creek in the Surat Basin.
Carbon Energy’s Chief Operating Officer Andrew Dash said today that the trial continues to
produce results at the top end of the company’s expectations. The Company has delayed
moving to the second phase of its trial while it deals with a minor technical matter caused by a
blockage in the current injection well approximately 300 metres underground.
“Our engineers are confident that a simple reconfiguration of the well layout will ensure that this
does not recur in future. Importantly, it will not materially impact our trial and we remain on
target to complete the trial within the scheduled 100 days” he said.
“To date, we have gasified upwards of 70 tonnes (70t) of coal per day on air only, the panel is
performing well and gasification is continuing” Mr Dash said.
The A$20 million UCG syngas trial is designed to demonstrate the sustainability and
consistency of its commercial scale UCG syngas production before moving to development of
one or more potential commercial scale production options.

COMPANY PROFILE

Carbon Energy’s purpose is to produce clean energy and chemicals feedstock from

Underground Coal Gasification (UCG) syngas.
Carbon Energy’s unique approach to UCG and syngas production produces a low cost option
for capturing CO2, making it a leader in clean coal technology.
Carbon Energy’s ambition is for syngas to become the preferred feedstock for producing clean
coal power stations, an alternative to oil-based fuel, agribusiness products (fertilisers &
explosives), polyolefin products (such as plastics) and allowing for economic carbon capture.
Carbon Energy’s technological advantage comes from its association with CSIRO including
world class geotechnical, hydrological and gasification modelling capabilities.