Senex has the last government approval it needs to launch its second major gas project in Queensland.

The company (ASX:SXY) has obtained a federal environmental nod for the Western Surat Gas Project.

It already has State environmental approvals and a petroleum lease over the area, although financial and commercial arrangements still need to be made before a final investment decision is reached.

It says it will focus on the Glenora and Eos blocks as starting points for the project.

Senex’s other big gas development is Project Atlas, which it signed a $140 million deal with pipeline operator Jemena in June to get that coal seam gas to market.

Senex said in July that it had secured $150 million in debt financing which should cover Project Atlas costs and the Western Surat Gas Project.

Senex has been contacted for comment.

The shares rose 3 per cent to an intraday high of 49.5c in early Tuesday trade — valuing the company at $695 million.

Senex Energy shares (ASX:SXY) over the past year
Senex Energy shares (ASX:SXY) over the past year