The objectives of this project are to evaluate the feasibility of carbon dioxide (CO{sub 2}) sequestration in Texas low-rank coals and to determine the potential for enhanced coalbed methane (CBM) recovery as an added benefit of sequestration. The main objective for this reporting period was to perform pressure transient testing to determine permeability of deep Wilcox coal to use as additional, necessary data for modeling performance of CO{sub 2} sequestration and enhanced coalbed methane recovery. To perform permeability testing of the Wilcox coal, we worked with Anadarko Petroleum Corporation in selecting the well and intervals to test and in designing the pressure transient test. Anadarko agreed to allow us to perform permeability tests in coal beds in an existing shut-in well (Well APCT2). This well is located in the region of the Sam K. Seymour power station, a site that we earlier identified as a major point source of CO{sub 2} emissions. A service company, Pinnacle Technologies Inc. (Pinnacle) was contracted to conduct the tests in the field. Intervals tested were 2 coal beds with thicknesses of 3 and 7 feet, respectively, at approximately 4,100 ft depth in the Lower Calvert Bluff Formation of the Wilcox Group in east-central Texas. …