"By injecting oxygen, we can ignite the coal where it is. This will produce a mix of gas which we can recover and use for energy-production. The problem however, is that one of the components of this gas mix will be the greenhouse gas CO2. We have to research a lot before we can utilize the resource in a way that doesn't harm the environment."

Cripes, this sounds to me like a terribly, terribly desperate way to harvest energy.

Look at the process of oxygen-blown coal gasification.  The similarities are remarkable, and the cold-gas efficiency can run 76% or more.