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A Queensland gas company has announced an A$8 billion joint venture with a British firm to build a natural gas plant.
Coal seam gas is to be piped from the Chinchilla region, in the state's southern inland, to the plant around Gladstone on the coast.
Premier Anna Bligh says the five-year project between Queensland Gas Company and BG Group will create thousands of jobs, as well as royalties for the State Government.
She says it also has green credentials.
"It's a very good news story for the environment, both here in Queensland and Australia and in international terms," she said.
"Gas has to be one of the transition fuels that helps the world between now and when we have the technology to make our current major fuel sources cleaner than they are."
- RADIO AUSTRALIA