South Sea Energy to acquire Indonesian coal bed methane project

Houston-based junior energy firm South Sea Energy Corp., formerly Henley Ventures, Inc. announced Monday that it had signed a Letter of Intent (LOI) with CBM Asia Development Corp. (CBM) to acquire CBM?s interest in a coal bed methane project located in East Kalimantan.

The LOI states, that upon completion of due diligence, South Sea and CBM will negotiate a formal, definitive assignment and acquisition agreement, or other transaction structure, whereby South Sea would acquire beneficial right, title and interest of the CBM Project.

The LOI calls for a definitive agreement to be signed on or before July 1st, 2007 and is subject to the terms and conditions of the LOI.(alex)