Several mines operating in the Bulli seam of the Sydney Basin in NSW, Australia are experiencing difficulties in reducing gas content within the available drainage lead time in various sections of the coal deposit. Increased density of drainage boreholes has proven to be ineffective, particularly in sections of the coal seam rich in CO2. Plus with the increasing worldwide concern on green house gas reduction and clean energy utilisation, significant attention is paid to develop a more practical and economical method of enhancing the gas recovery from coal seams. A technology based on N2 injection was proposed to flush the Coal Seam Gas (CSG) out of coal and enhance the gas drainage process. In this study, laboratory tests on CO2 and CH4 gas recovery from coal by N2 injection are described and results show that N2 flushing has a significant impact on the CO2 and CH4 desorption and removal from coal. During the flushing stage, it was found that N2 flushing plays a more effective role in reducing adsorbed CH4 than CO2. Comparatively, during the desorption stage, the study shows gas desorption after N2 flushing plays a more effective role in reducing adsorbed CO2 than CH4.