Bukit Asam begins pilot drilling of CBM well in Tanjung Enim

State owned coal company PT Bukit Asam Tbk (PTBA) has begun pilot drilling of a coal bed methane (CBM) production well at its CBM Tanjung Enim Block, South Sumatera, a company official said.

Corporate Secretary of Bukit Asam Achmad Sudarto said the pilot drilling is carried out as part of process to conduct CBM trial production, set for first quarter 2012.

Achmad said they have yet to determine the CBM volume produced from the well. He however said Bukit Asam will gradually ramp up CBM production to 50 million standard cubic feet per day (MMSCFD) in early 2013.

So far, Bukit Asam and its partners ? PT Pertamina Hulu Energi (PHE) and Dart Energy -- in the developing the block has drilled two exploration wells. Bukit Asam and PHE holds 27.5 percent interest respectively while Dart Energy holds the remaining. (giok)