Santos: Coal seam gas industry remains safe from financial crisis  

The ABC reports that the local coal seam gas industry is remaining bullish about its prospects - Qld gas industry remains safe from financial crisis.

One of Queensland's largest gas providers, Santos, says the sector has been insulated from job losses which have hit the mining industry. Several companies, including Xstrata, Macarthur Coal and Oz Minerals, have announced more than 500 job losses in the past month as a result of the global financial crisis.

However, Santos says the demand for energy from clean sources remains strong. Santos commercial vice-president Rick Wilkinson says any short term downturn in the market will not have any impact on long term projects.

Mr Wilkinson says the company is on track to deliver the world's first coal seam gas to liquefied natural gas project in Gladstone in central Queensland by 2014. "I think generally there is a long term gas demand," he said. "I think that the emissions trading scheme that is coming in will favour gas - it's a clean energy and will be a nice bridge to the renewable gas, renewable energy requirements of the future."

Santos says retrenched coal miners in Queensland may find jobs in the gas industry.

Santos operations vice-president Roger Kennett says the company plans to hire 120 staff over the next four months.

Mr Kennett says coal miners' skills would be needed on some of its coal seam gas projects. "Field development, where there is a lot of drilling going on, a lot of exploration, pipelines will need to be installed - those local communities will be looking for additional resources," he said. "Certainly there are opportunities out there if those people have the skills to turn that way."

Mining company Anglo Coal Australia is planning to sell its coal seam gas interests in the Dawson area in central Queensland. The company says the move will allow it to concentrate on developing its coal mining operations near Moura.