AGL Energy Limited (AGL) confirmed today that it has commissioned five separate water studies into ground and surface water on the Gloucester Gas Project since 2007 and will continue its extensive monitoring program going forward.

The Gloucester Community Consultative Committee also commissioned a fully independent peer review of the water studies. Undertaken by Dr Richard Evans, the study concluded that all "recommendations can occur in parallel with the Waukivory Flow testing Program and should not be delayed pending the result of that program."

AGL Head of Land and Approvals, David Kelly, said the company would continue its research and expand its monitoring network over coming years.

"We know people are concerned about water impacts. AGL has a team of hydrogeologists who are conducting ongoing studies so that we can protect the area's water resources."

Mr Kelly said AGL had in place more than 30 dedicated surface and ground water monitoring sites continually monitoring water levels.

He said AGL did not have operations across the entire basin and was not seeking such approval.

"An entire basin study would be completed if work was ever to occur across the entire basin.

"In addition, our research shows that groundwater systems in Gloucester are localised. We believe that based on the information we have, that water extracted from the northern part of basin is unlikely to have any effects in the southern part."

AGL will continue to work with and keep informed all of the community as well as the Barrington-Gloucester-Stroud Preservation Alliance.

About AGL

AGL is one of Australia's leading integrated renewable energy companies and is taking action toward creating a sustainable energy future for our investors, communities and customers. Drawing on 175 years of experience, AGL operates retail and merchant energy businesses, power generation assets and an upstream gas portfolio. AGL has one of Australia's largest retail energy and dual fuel customer bases. AGL has a diverse power generation portfolio including base, peaking and intermediate generation plants, spread across traditional thermal generation as well as renewable sources including hydro, wind, landfill gas and biomass. AGL is Australia's largest private owner and operator of renewable energy assets and is looking to further expand this position by exploring a suite of low emission and renewable energy generation development opportunities.