Energi Mega studies possibility to convert Tabulako gas to CNG

Oil and gas company PT Energi Mega Persada Tbk (EMP) said it is currently studying the possibility to convert its gas from Tabulako CBM (coal bed methane) PSC into compressed natural gas (CNG), the company?s president Imam P. Agustino said.

?We are studying the possibility to convert the gas (CBM) in Tabulako PSC into CNG. We are now conducting research. We are studying the economic viability of the plan,? said Imam.

He said there are no difficulties in finding the technology to be used as such technology has been implemented in small-scale projects. ?We want to develop a large-scale (conversion) project,? said Imam.

If the conversion of gas from CBM into CNG is successful, we would sell the converted gas to mining companies around the Tabulako CBM block, said Imam. He noted the price of CNG should be lower compared to fossil fuel.

Imam also said the company is also studying other option, namely converting the CBM gas into liquid (GTL).

The company said the CBM gas resources in Tabulako is estimated to reach 1 TCF. EMP holds 70 percent interest in the block and the remaining 30 percent is owned by Bumi Resources. (giok)