-- Osaka Gas Co., Japan's second- largest distributor of the fuel, said it's interested in buying liquefied natural gas from projects being developed in Australia's Queensland state that use coal seam gas as a fuel.

The company is pursing opportunities involving technologies such as floating LNG, and unconventional resources such as coal seam gas, Shinichi Tada, managing director of Osaka Gas's Australian unit, said today at a conference in Darwin. It is also looking for more opportunities to invest in Australia, he said.

Five rival ventures have proposals to develop LNG projects on Queensland's coast based on coal seam gas, which hasn't previously been used to fuel gas export projects. Osaka Gas imports about 7.3 million metric tons a year of LNG, including fuel from Australia's North West Shelf venture, and has stakes in the undeveloped Sunrise, Evans Shoal and Crux fields off northern Australia.

``Osaka Gas continues to look for new opportunities in a number of key areas,'' Tada said. ``We believe the Oceania region will continue to be a core area for Osaka Gas.''

Australia's Browse Basin, the Queensland projects and LNG developments in Papua New Guinea offer ``exciting potential,'' Tada said. He declined to say specify which LNG project in Queensland the company is interested in.

BG Group Plc, Santos Ltd. and Royal Dutch Shell Plc are involved in ventures proposing LNG projects in Queensland.