KUALA LUMPUR: Globaltec Formation Bhd’s subsidiary NuEnergy Gas Ltd has received the coal bed methane reserves certification from Indonesia for the Tanjung Enim production sharing contract (PSC).
It said on Monday NuEnergy, which is listed on the Australian Securities Exchange, had received the certification from the Indonesia Research and Development Center for Oil and Gas Technology.
The reserves certification has concluded with findings of 86.05 billion standard cubic feet (Bscf) of proved reserves and 78.84 Bscf for probable reserves giving a total gas reserves of around 165 Bscf for the target development areas covering 33 sq km (or 13% of the Tanjung Enim PSC acreage).
The reserves would enable NuEnergy to deliver 25 million standard cubic feet (MSCF) per day to the market through the development of over 200 wells.
NuEnergy deputy executive chairman, Kee Yong Wah said: “This certification is an endorsement and a very clear indicator of the underlying prospects of the Tanjung Enim asset and is in line with our expectation of the coal seams in the South Sumatra region.”
He said the Tanjung Enim initial target development area only represents 1.4% of its total South Sumatra PSCs acreage of 2,280 sq km.
“We are excited about the huge potential of our other South Sumatra PSCs with the expectation that the Tanjung Enim target development area is a representation of the rest of these assets,” he said.