Cougar eyes first power project in a year

By Demas Simbolon

ASX-listed Cougar Energy Ltd plans to establish first commercial power project in Indonesia with a capacity of 30 MW within the next 12 months using underground coal gasification (UCG) technology.

The company said in a presentation the target following a year of works, together with PT Medco Power, in assessing and identifying coal deposits in Indonesia suitable for application of UCG technology.

It said in a statement that it is currently conducting the financial modeling and feasibility for 30 MW power project. It did not elaborate on the location of the project, only said that the partnership with Medco would continue in UCG project developments.

The firm said it has confidence in the country where power demand grows about 9 percent annually.

Underground coal gasification is an industrial process, which converts coal into gas product, which is to some extent similar to coal bed methane (CBM).

Editing by Dadan Wijaksana