Ephindo, Arrow in CBM exploration pact
Monday, January 19 2009 - 07:30 PM WIB
Indonesian coal-bed methane (CBM) explorer Ephindo-Ilthabi CBM Holding Inc. (EICH) announced on Monday to have reached deal with Australian firm Arrow Energy -subject to final documentation- on a farm-in proposal to EICH's Sangatta CBM block in East Kalimantan and have agreed to discuss other potential cooperation in exploration and development of CBM resources in Indonesia.
EICH was awarded operatorship of a CBM PSC in a consortium with PT Pertamina Hulu Energi Metan A, a subsidiary of state oil and gas company PT Pertamina, on the Sangatta I Block in November 2008. The working area is approximately 1,300 sq. km.
?EICH and Arrow intend to develop a corporate partnership aimed at jointly operating this PSC and with the aim of further extending this partnership into other related areas of interest based on the successful development of this relationship,? the company said.
The company?s press statement did not give detail about the percentage of interest that would be transferred to Arrow.(godang)