Island Gas Resources (IGas), the UK's first producer of commercial electricity from coal-bed methane (CBM), continues to advance the projects on its acreage. The company - alongside Canadian partner Nexen - currently produces enough electricity to power around 1,200 homes from a test plant at Doe Green in Cheshire, and is looking to increase output by bringing a second well into production. Management estimates that its licences contains sufficient natural gas to power more than 4m homes for 15 years
The UK could certainly do with a larger energy contribution from CBM producers. Its energy supply challenges were highlighted again in a recent report from Ofgem, the gas and electricity regulator, which cautions that "Britain will face significant levels of gas imports, in particular for gas power plants to replace lost nuclear and coal-fired capacity". Other countries including Australia and the US already have well-developed CBM capabilities.
What we said:
When: 2/10/09
Price: 65p
