A proposed $350 million liquefied natural gas (LNG) plant to be built in the central Queensland city of Gladstone is not only a first for Australia's east coast, but will also diversify the city's industrial base.

The Gladstone Economic and Industry Development Board is working with Perth-based company LNG Limited to establish the plant.

The board's chief executive, Randall Byram, says the proposed plant would produce a product that is in high demand throughout the world.

"What it really does mean is that there's an opportunity here to break into a trade that the world has great demand for," he said.

"LNG is very much sought after around the world. The fuel has a lower greenhouse gas intensity from other fossil fuels and that makes it very useful for power generation."

Copyright (c) 2006 Australian Broadcasting Corporation. All rights reserved.

Related Project
Gladstone LNG (GLNG)
Facility Type: LNG Owner: Santos Ltd. (60%; operator); Petronas (40%)
Scope: New Construction Location: Gladstone, Queensland Australia