UCG reduces the safety issues, surface damage and mine collapse issues associated with conventional coal mining.
Exxaro will explore the opportunity, which will enhance the African economy by monetizing previous unmineable coal resources.
Linc Energy has signalled its intent to enter the region during the first half of this year.
The firms will jointly evaluate certain of Exxaro’s coal tenements for UCG suitability.
Linc Energy CEO Peter Bond said the execution of the MOU supports Linc Energy’s global energy production strategy.
"By jointly evaluating Exxaro’s coal tenements we can identify coal suitable for UCG to supply much needed energy in this region" added Bond.
