The Queensland Government is investing in Kestrel Coal Resources’ waste gas-to-electricity project as part of the $520 million Low Emissions Investment Partnerships (LEIP) program.
This initiative will expand the underground mine’s drainage system to capture more fugitive gas, preventing its release into the atmosphere. Once completed, the project is expected to reduce the mine’s emissions by over one million tonnes over eight years.
The 30 MW power station will be built at the Kestrel mine, located north of Emerald, generating enough electricity to power more than 40,000 homes. Kestrel Coal Resources is the second partner in the Queensland Government’s LEIP program, aimed at attracting private sector investment to accelerate emissions reductions in Queensland’s highest-emitting facilities.
The project is anticipated to create around 160 additional jobs, complementing the existing 700-strong mine workforce, ahead of full operations in 2026.
Queensland Deputy Premier, Treasurer, and Minister for Trade and Investment, Cameron Dick, emphasized the importance of Queensland’s metallurgical coal mining industry in supporting renewable technologies and achieving a net-zero transformation.
“The LEIP program is accelerating opportunities to reduce emissions while supporting Queensland’s resources industry,” Mr. Dick stated. “Kestrel’s project will mitigate emissions through proven abatement technologies, protecting jobs in regional Queensland and supporting an industry crucial to our renewable energy future.”
Kestrel Coal Resources’ CEO, Shane Hansen, highlighted the company’s commitment to innovative emissions reduction projects. “This funding is a key enabler of our decarbonization strategy, and we welcome the partnership with Queensland Treasury and the LEIP program. The project will support the future of our workforce as we continue to sustainably supply the steelmaking industry.”