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108854v1c

LINC ENERGY FURTHER CEMENTS RELATIONSHIP WITH MARUBENI CORPORATION

Brisbane-based Linc Energy Ltd (ASX: LNC) has today announced that it has further cemented the relationship with Marubeni Corporation that was established with the signing of a Memorandum of Understanding (MOU) on 12th June 2007, with a further agreement being entered into between Linc Energy Ltd, Marubeni Corporation and the Vietnam National Coal-Mineral Industrial Group (VINACOMIN) signed on Thursday, 2nd August in Hanoi.

Linc Energy Ltd (LINC ENERGY) has entered into a Memorandum of Understanding with Vietnam National Coal and Mineral Industries Group (VINACOMIN) and Marubeni Corporation (MARUBENI) to form a Joint Venture Company as a means to develop the Red River Delta Coal Basin (Vietnam) via the application of Linc Energy’s Underground Coal Gasification (UCG) process, and to use that UCG gas for feeding a proposed combined cycle gas fired power station.

VINACOMIN is a State-owned business enterprise established by the Prime Minister of Vietnam in a bid to develop Vietnam’s significant resources.

VINACOMIN has identified 30 billion tonnes of coal in the Red River Delta (see attached diagram of the region) which has significant development potential via Linc Energy applying its UCG process. Linc Energy will be paid to construct, operate and own a UCG demonstration facility as part of the program of development in the Red River Delta which is located 30 to 40km from Hanoi (Fig 1). Hanoi is the economic centre of northern Vietnam – Haiphong, Vietnam’s main port, lies on a branch of the delta.

Target UCG
NEDO Survey of Red River
FIG 1
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