Illawarra CSG company questions its future

Posted March 15, 2013 10:36:14

Apex Energy has expressed frustration with the federal government's proposed new laws to deal with impacts of coal seam gas mining.

The company behind plans to drill for C-S-G in the Illawarra says the draft legislation doesn't rule out mining in water catchment areas.

Spokesman for the project, Tom Fontaine, says he's more concerned about arbitrary political scrutiny, rather than technical scrutiny.

"We've been given approval by multiple technical groups and government levels and it seems every time we turn around there becomes another couple of hurdles to jump over," he said.

"(This) obviously causes us a lot of concern and makes us question whether we should be in New South Wales."

The group Stop C-S-G Illawarra doubts the move will impact Apex Energy's plans to drill for gas in the Illawarra's water catchment land, as any potential approval is likely to be given before new laws take affect.

Spokeswoman Jess Moore says it's a contradiction that the regulations will only apply to new projects.

"Even though they are saying we have to ensure drinking water supplies are protected and that means no new coal seam gas projects that will effect water supplies, at the same time they are saying 'the ones that have already been approved we can't stop'," she said.

"Which is a contradiction.

"If you think you need to protect water supplies then you need to protect it from all coal seam gas projects".

Topics: mining-industry, mining-rural, oil-and-gas, wollongong-2500