Linc Energy Limited (ASX:LNC) More Than Doubles Underground Coal Gasification Syngas Flow Rates

Brisbane, Sep 24, 2010 AEST (ABN Newswire) - Linc Energy Ltd (ASX:LNC) (OTCQX:LNCGY) is pleased to announce it has more than doubled its Underground Coal Gasification (UCG) Gasifier 4 syngas flow rates, with the workover processes recently completed with its newly acquired coil tubing unit equipment.

As referred to in ASX announcement 'Linc Energy's Coil Tubing Unit Arrives at the Chinchilla Demonstration Facility' on 27 July 2010, Linc Energy has introduced coil tubing unit equipment to UCG, and remains the only company to do so in the world.

"This is the first time in the world that coil tubing unit equipment has intervened on a live and flowing UCG gasifier to enhance its productivity," said Chief Executive Officer Peter Bond.

"We've more than doubled syngas flow, whilst considerably improving its quality and composition," said Bond.

"We have gained unique UCG operating experience, never seen before. We know how to use coil tubing equipment, how to conduct UCG cavity workovers while the well is still live and flowing, and how to perform all of this safely," he said.

The use of coil tubing unit equipment on an operational UCG cavity has provided Linc Energy with significant understanding of how commercial scale UCG can be managed. Achieving a more than double increase in syngas flow rates certainly validates Linc Energy's decision to purchase the coil tubing unit technology and apply it as a core component to all its UCG projects to meet commercial operating requirements and enhance consistency.

"As I've said before, we are certainly leading the world in UCG and the Chinchilla Demonstration Facility has been an excellent platform to develop Linc Energy's expertise to successfully deliver commercial UCG operations around the world for cleaner power and fuels. I have no doubt that Linc Energy is now ready to deliver commercial UCG operations on a significant scale."

Contact

Peter Bond Chief Executive Officer Linc Energy Limited Ph: +61-7-3229-0800 http://www.lincenergy.com.au