The securities of Cougar Energy were suspended from trading this morning pending the release of an announcement regarding the Queensland government's decision to maintain a halt at the company's Kingaroy pilot plant.
Cougar said its board required further time to assess the implications of this decision as well as its working capital requirements.
"The company hopes to be in a position to make a further announcement to the market in relation to its outcome by August 3, 2010," Cougar said in a letter to the Australian Securities Exchange today.
"The company is concerned that until the board has completed consideration of these issues there may be uncertainties surrounding the implications for the Company's operations and that the market in its securities may therefore not be fully informed."
The Queensland government last week demanded that three underground coal gasification (UCG) projects provide the results of past water quality testing.
Cougar Energy was ordered to stop its UCG trial near Kingaroy last week, after tests conducted in July found traces of a known carcinogenic, benzene, and the toxic chemical toluene in bores near the plant.
Affected residents have been told not to drink the water.
AAP