Converting coal-bed methane into liquefied natural gas is a fledgling industry but one that has attracted heavyweight oil and gas groups to the Australian state of Queensland.

Royal Dutch Shell, ConocoPhillips of the US, the UK’s BG and Petronas of Malaysia have all made big bets on Queensland CBM – natural gas produced from coal deposits that is known in Australia as coal seam gas – either alone or in partnership with domestic groups such as Santos, Origin Energy and Arrow Energy.