Called the Felton Clean Coal Demonstration Project, Ambre Energy proposed investing substantially in new technology and processes to produce a hydrogen-rich syngas to fuel a power plant and produce DME, a 'next generation' diesel alternative.

In response to global economic conditions, ongoing market assessments and a drive for continuous improvement, the project was changed fundamentally.

Ambre Energy took a commercial decision to apply fully proven coal-to-liquids technology at the site; ambreCTL replaced the proposed Felton DME project and an announcement was made in March 2010.

The footprint, technology and scale and scope of the project tjerefore changed. A larger open-cut mine and full-capacity unleaded petrol facility were subsequently proposed.

There was no longer any need for a demonstration or pilot stage. The new project will be constructed at full scale, which is required for an appropriate commercial return and to respond to potential fuel shortages.

The state government requires a separate approval process for this new project to reflect the nature of the project’s potential impacts.

The Environmental Impact Statement (EIS) process for the Felton DME project has been withdrawn and the new process is ongoing.