A new energy-generating technology called Underground coal gasification (UCG) has been closed by the Queensland Government, as it was suspected to pollute water.

UCG is a process of converting coal into gas. The gas is produced by combusting the coal underground, which releases the gas used for generating power. Three Companies had been employed to carry on the trial process.

The Department of Environment and Resource Management ceased the trials after the groundwater water was found contaminated with chemicals like benzene and toluene near Cougar's Kingaroy plant. Till more scrutinization is completed, the project will remain closed.

As told by the Director-General of DERM, John Bradley, they have started taking precautionary steps against the contamination of water and the environmental evaluation will also be done in order to ensure safety. People near the testing bores have been advised to not to use the water from those sources. The chemical mixed water can also affect the lands of the farmers, so they also need to be cautious.

The halt is shocking news for the Cougar Energy, who had already have its press release on its website.

The Mines Minister, Stephen Robertson told that he has appointed an expert to look into the matter and supervise the concerned industry.

It cannot be decided yet that UGC’s fate will get altered or not.