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Linc will fund the acquisition by issuing Gas Tech with its Australia-listed shares at $A4.03, at a 60% premium to the current price.
The scrip values the deal at $US50 million.
Gas Tech holds tenements covering 172,000 acres in the Powder River Basin with a non-JORC compliant target range of 7-19 billion tonnes of coal.
Linc said past drilling would allow it to only have to undertake a modest drilling program to test the sites for UCG potential and bring the deposit up to JORC standard.
Linc said it planned to proceed with a UCG pilot plant within the next 12 months, and break ground in the fourth quarter of 2009.
The company aims to produce a minimum of 40,000 barrels per day of GTL diesel and jet fuel from its initial commercial US operation.
