Indonesia

CBM Asia Development Corp., Vancouver, BC, said it has applied through its Indonesian partner PT Ephindo for a second coalbed methane production sharing contract in the Kutei basin of East Kalimantan, Indonesia.

July 1, 2009

By OGJ editors
HOUSTON, July 1 – CBM Asia Development Corp., Vancouver, BC, said it has applied through its Indonesian partner PT Ephindo for a second coalbed methane production sharing contract in the Kutei basin of East Kalimantan, Indonesia.

The application covers 56,300 ha next to the company’s Kutai West PSC. CBM Asia, which has an 18% working interest in Kutai West, will hold a 40% working interest in the new contract if a PSC is awarded.

CBM Asia is responsible for carrying out a $5.6 million exploration and appraisal program by November 2011 to determine commercial feasibility of CBM production on Kutai West and submit a development plan to the government.