Moranbah Project

Moranbah Gas Project (MGP)

Located a short distance north of Moranbah, the MGP has been in production since 2006, extracting gas from coal seams

QPM Energy acquired the MGP in August 2023

Under its ownership, QPM Energy has transformed the MGP into a significant gas producer with strong growth potential.

Project Location and Tenements

The map shows the location of coal mines proximate to our operational areas

The MGP is connected to five operating coal mines, collecting waste gas from these operations:

  • Anglo American’s Grosvenor mine
  • Anglo American’s Teviot Brook mine
  • Anglo American’s Moranbah North mine
  • Fitzroy Resources’ Carborough Downs mine
  • Stanmore’s Isaac Plains mine
The location and extent of the Moranbah Project’s petroleum licenses

The MGP consists of 4 Petroleum Licenses (PL196, 191, 223, 224)Within these PLs, all gas rights are owned by QPM Energy. 

Customers and Revenue Generation

QPM Energy generates revenue in two ways: 

  • Direct sale of gas; and 
  • Utilisation of gas to generate electricity. 


Gas Sales 

QPM Energy’s major customer is the Dyno Nobel Moranbah Ammonium Nitrate Plant.  Gas is also supplied to Copper Refineries in Townsville. 

QPM Energy is seeking to broaden its gas sales customer base in the North Queensland region, where there is currently a high reliance on the use of diesel for power generation.  Using gas to displace diesel could result in cost savings and also significantly reduce carbon emissions. 


Electricity Generation 

QPM Energy has operating control of two gas fired power stations: 

  • 242MW Townsville Power Station; and 
  • 12.8MW Moranbah Power Station 


QPM Energy supplies gas to these power stations
, which in turn generate electricity for sale into the National Electricity Market.  QPM Energy receives revenue from the sale of this electricity. 

QPM Energy typically operates these power stations as peaking power stations, generating electricity when the price is strong.  Typically this is in the evening when solar power generation switches off and consumer demand peaks. 

Infrastructure to Support Growth

The MGP boasts an extensive gas gathering infrastructure network which includes: 

  • 500km of gas gathering and water pipelines; and 
  • 150km 11kV electricity distribution network. 


The MGP’s compression facilities have a capacity of 64TJ/day
and is currently the only compression facility connected to the North Queensland Gas Pipeline, which transports gas from Moranbah to Townsville. 

Compared to current levels of production, the existing infrastructure capacity can support significant growth in production. 

QPM Energy is currently targeting gas production growth from within its existing Petroleum Licenses and also from surrounding coal mines. 

Significant levels of gas is currently being flared or vented throughout the Bowen Basin as a result of coal mining.  With its established infrastructure, QPM Energy is well positioned to work with coal mines to capture their waste gas and put it to beneficial use. 

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