Mr Fraser said he believed the party formed by Member for Kennedy Bob Katter could take as many as 10 seats in the next state election, scheduled for March.

But he said the seats most at risk were in Liberal National Party (LNP) territory.

He told the ABC up to 10 seats could go to the party "mostly in the north and probably eating into the LNP base".

He said seats where Mr Katter had a strong profile - Hinchinbrook, Burdekin, Mirani and Warrego - were at risk.

"I think it will be a red hot show," he said.

Meanwhile, Mr Katter has issued a call for a 12-month moratorium on new coal seam gas projects in Queensland as the gas industry continues its march north into the cattle country of McKinlay, Richmond and Flinders shires.

"There is a growing movement of very angry people who are upset because their land is being taken due to the policies of the Labor government," he said in a statement on Thursday.

"It is also becoming increasingly clear to landholders that the George Street Liberal cronies have no intention of protecting landholders, whether they own suburban backyards or broad acre farms," he said.

Several coal seam gas companies have started exploration in the North West and landholders and politicans have expressed concern for the health of the Great Artesian Basin should the projects take off.

Most towns and stations in the North West draw water from the Great Artesian Basin.