This study deals with three questions: What does gas from coal cost and what affects this cost; How do different approaches and processes compare; and How near to competitive cost-levels is present-day technology. Discussion covers production of both substitute natural gas (SNG) and medium calorific gas (MCG: 10-16 MJ/Nm3 or 250-400 Btu/SCF). Conclusions are that SNG from low-cost U.S. coal and West German brown coal are, on the basis of mature technology and Government rates-of-return, roughly competitive with gas imports into the U.S. and Europe respectively. Similarly MCG from second-generation gasifiers is competitive with gas-oil or No. 2 heating oil in Europe, North America and Japan. However, capital costs form about half total gas costs at 10 percent rate-of-return, so that the competitiveness of gas from coal is sensitive to capital costs: this is the area of greatest uncertainty.