China: Shanxi coalbed methane project advances

Fortune Oil PLC and Dart Energy Ltd., Brisbane, have completed a compressed natural gas facility at Liulin, China, that will compress pilot gas production from Liulin coalbed methane field in Shanxi Province.

Fortune Oil PLC and Dart Energy Ltd., Brisbane, have completed a compressed natural gas facility at Liulin, China, that will compress pilot gas production from Liulin coalbed methane field in Shanxi Province.

Meanwhile, the companies received Ministry of Commerce approval to extend the exploration period of the Liulin production sharing contract 2 years to Mar. 29, 2014.

The extension will allow time for pilot gas appraisal and commercialization ahead of overall development plan approval and for the companies to assess all coal seams and the remaining areas of the block. The companies said the block’s horizontal wells are producing at commercial rates (OGJ Online, June 14, 2012).

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