Santos and Petronas' multibillion-dollar Gladstone Liquefied Natural Gas (GLNG) project received its environmental approval from the Queensland government, following review of the project's Environmental Impact Statement (EIS) by the Queensland Coordinator-General.

The Queensland Government approval covers the development of coal seam gas resources in the Bowen and Surat Basins around Roma, construction of a 435-km pipeline from the gas fields to the coast, and construction of up to three processing trains at a liquefied natural gas (LNG) plant and export facility on Curtis Island, off Gladstone.

GLNG's environmental approval process will now continue with Federal government consideration of the project.

GLNG president Rick Wilkinson said approval of the EIS by the Queensland Government was a significant milestone for GLNG as the project builds momentum towards a final investment decision this year.

"We acknowledge the Queensland Government's foresight in encouraging the development of the coal seam gas-to-LNG industry. An industry which promises billions of dollars of investment and the creation of thousands of jobs," said Wilkinson.

He said that GLNG remains committed to implementing comprehensive environmental management plans and are supportive of the conditions outlined by the Coordinator-General.

GLNG said it will create about 5,000 construction jobs and 1,000 permanent operational jobs when the project commences shipments of LNG in 2014.

GLNG is a pioneering project to convert coal seam gas (CSG) to liquefied natural gas, as a cleaner energy source.