Coalbed Methane

Coalbed Methane (CBM) ImageCoalbed methane, or CBM, is a natural gas produced from coal seams or adjacent sandstones. In 1994, US coalbed methane reserves were 9.38 tcf, which was less than 6% of the domestic natural gas reserves. Production in 1994 was 777 bcf, or 4% of the natural gas production of the lower 48 states. Commercial production occurs in approximately 10 US basins. The major producing areas are the San Juan, Black Warrior, and Central Appalachian basins. CBM plays are now international with tests or pilot projects in about 15 countries. Coalbed methane is produced in Queensland, Australia, and the UK, and pilot projects are underway in China and India. Independent operators are the most active CBM exploration companies in the US. Internationally, both majors and independents are actively seeking to expand the industry.

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CBM News

GeoMet finds buyer for Appalachian CBM assets

Feb 17, 2014

GeoMet Inc., Houston, has agreed to sell its coalbed methane interests and other assets in the Appalachian basin to ARP Mountaineer Productions LLC, a wholly-owned subsidiary of Atlas Resource Partners LP, for $107 million.

Indonesia: Dart to obtain East Kalimantan CBM block

Sep 7, 2012

Dart Energy International Pte. Ltd., Singapore, plans to start work in mid to late 2013 on the 411 sq km Bontang Bengalon coalbed methane block in the central Kutei basin in East Kalimantan, Indonesia.

China: Ordos basin coalbed methane wells spudded

Aug 27, 2012

Sino Gas & Energy Holdings Ltd., Sydney, has spudded the first two coalbed methane wells on the Linxing production sharing contract area in the Ordos basin in China.

Alberta: CEP adds GeoMet Peace River CBM interest

Jun 26, 2012

Canada Energy Partners, Vancouver, BC, has acquired Hudson’s Hope Gas Ltd., the subsidiary of GeoMet Inc. that is 50% owner and operator of CEP’s Peace River coalbed methane project in Alberta.

CBM output climbs at China Shanxi Liulin field

Jun 14, 2012

Fortune Oil, Hong Kong, said it is starting to see commercial gas flow rates from horizontal wells at its Liulin coalbed methane project in Shanxi Province of northern China.

China shale gas holds great promise, Shell executive says

Jun 5, 2012

Australia’s coal seam gas and China’s shale gas resources hold great promise for future global gas supply, Royal Dutch Shell PLC Chief Executive Officer Peter Voser told the 25th World Gas Conference during a speech in Kuala Lumpur, Malaysia, on June 5.

Two firms connect to pursue Indonesia CBM

May 16, 2012

CBM Asia Development Corp., Vancouver, BC, and Continental Energy Corp., Jakarta, formed a joint study and bid group to investigate coalbed methane opportunities in Indonesia.

Kalimantan exports CBM as LNG, tests more wells

Apr 12, 2012

Newton Energy Capital Ltd. has completed its first coalbed methane exploratory test well on the Kutai West CBM PSC area in East Kalimantan, Indonesia, said CBM Asia Development Corp., Vancouver, BC, which has an 18% interest in the PSC.

China: CBM firm's 2011 drilling, production climb

Feb 15, 2012

Green Dragon Gas Ltd. said it averaged coalbed methane production of 4.4 MMcfd in the 2011 fourth quarter from the Shizhuang South block in China.

PetroChina to buy 20% of Shell's Canadian shale gas assets

Feb 6, 2012

PetroChina, a unit of China National Petroleum Corp., has signed a binding agreement to purchase a 20% stake in Royal Dutch Shell PLC’s Groundbirch assets in northeastern British Columbia.

Indonesia: CBM Asia to join Kalimantan coal gas block

Jan 26, 2012

CBM Asia Development Corp., Vancouver, BC, has signed a heads of agreement with PT Tranaco Utama, a private Indonesian company that holds first rights to undertake a production sharing contract for a 1,500 sq km coalbed methane block in Kalimantan, Indonesia.

Israel: Northern CBM license relinquished

Dec 15, 2011

Adira Energy Ltd., Toronto, has relinquished its 100% owned, 31,000-acre Eitan license in the Hula Valley onshore northern Israel.

Exoma-CNOOC hails Galilee basin oil resource

Dec 9, 2011

A combine of Exoma Energy Ltd., Brisbane, and an onshore unit of China National Offshore Oil Corp. have a large indicated oil discovery in the Galilee basin of central Queensland, Australia.

Nutrient injection eyed in Wyoming CBM well field

Dec 8, 2011

The US Bureau of Land Management is seeking public comments on Patriot Energy Resources LLC’s proposed Rough Draw Project 13 miles north of Gillette, Wyo., the agency’s Buffalo, Wyo., field office announced on Dec. 7.

BLM seeks comments on proposed Rough Draw CBM project

Dec 7, 2011

The US Bureau of Land Management is seeking public comments on Patriot Energy Resources LLC’s proposed Rough Draw Project 13 miles north of Gillette, Wyo., the agency’s Buffalo, Wyo., field office announced on Dec. 7.

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