Underground Coal Gasification Demonstrator Project- Consultation meeting 17 th February 2014

Agenda Refine Conceptual Model The evidence base/UK history for UCG Introduction to the project team What is the Underground Coal Gasification (UCG) Demonstrator Project Possible Sites Process Programme

The evidence base for UCG YEARTitleReferenceContributors 1999DTI Energy Paper 67 – Cleaner Coal Technologies DTI 2001Review of Underground Coal Gasification Technological Advancements Report No. Coal R211 DTI/Pub URN 01/1041 BGS Nottingham University Wardell Armstrong 2004UK Coal Resource for New Exploitation Technologies Report No. COAL R271 DTI Pub URN 04/1879 BGS Nottingham University Imperial College London 2004Review of Environmental Issues of Underground Coal Gasification Report No. COAL R272 DTI Pub URN 04/1880 University of Liege WS Atkins FWS consultants 2004Review of the Feasibility of Underground Coal Gasification in the UK DTI 2006Creating the Coal Mine of the 21 st Century – The Feasibility of UCG under the Firth of Forth Report No. COAL R304 DTI Pub URN 06/942 Heriot-Watt University 2009Development of Underground Coal Gasification for Power Generation DECC Pub URN 09D/679Cranfield University

Project Team Refine Conceptual Model Algy Cluff CEO & CHAIRMAN Michael Green UCG ADVISOR Andrew Nunn COO Kincardine Project Team ERM – Hydrology, EIA and Planning Legal Golder - Geomechanics Dundas - Drilling Charlotte Street – Stakeholder Engagement & PR Surface Engineering Graham Swindells CFO

What is UCG: General layout of demonstrator Refine Conceptual Model Demonstrator Parameters Site areas, approx 6 ha Construction and drilling phase 150 to 200 day operational phase Two well ‘streaming’ gasifier Oxidants – Air and O 2 Produced Gas – Thermal Oxidiser Produced Water – Offsite Disposal Depth of gasifier - >1000m Decommission and monitoring phase

What is the UCG Demonstrator-Summary Refine Conceptual Model The sequence of testing proposed will cover: A.Operation on air, enriched air and oxygen, B.Gasification along the channel in either a continuous burn (parallel CRIP) or series of batch CRIP manoeuvres (In-line CRIP), C.Shut-down and decommissioning D.Full compliance with the requirements of environmental monitoring or underground, surface and air conditions. Overall Aim The aim of the UCG demonstrator is to confirm that UCG can be sustained in a coal seam located under estuary or seawater and accessed by lateral drilling from a land location. The day test will generate operational and environmental data for the commercial design and provide evidence regarding process safety and environmentally performance.

What is UCG: The Gasification Process Refine Conceptual Model

What is UCG: Ex-situ GASIFICATION TEST Refine Conceptual Model

What is UCG: Bloodwood Creek Surface Layout – Carbon Energy Refine Conceptual Model

What is UCG: Swan Hill Infrastructure – Swan Hill Synfuels Refine Conceptual Model Coiled Tubing Unit on Injection Well Production Wellhead

What is UCG: El Tremedal Demonstrator, Spain – European funded-Spain, UK and Belgium Refine Conceptual Model OXYGEN INJECTION SITE CONTROL ROOM PRODUCTION SITE

Planned Sites: Licence Block and likely Gasifier Location Approximate Size of Demonstrator Gasifier 250 x 250m max Likely Gasifier Location

Illustrative Planning Programme. Refine Conceptual Model Scoping Submission April 2015 Scoping Opinion June 2015 Environmental Impact Assessment March to October 2015 Planning Submission – Nov 2015 Ongoing Regulator Engagement Members & Public Engagement (April 2015) Members & Public Engagement (Sept/Oct 2015)