Indonesia Okays Empyrean Plan for Mako Gas
Indonesia has approved the development plan for the Mako gas field, Empyrean Energy PLC and Coro Energy PLC said.
Indonesia’s Ministry of Energy and Mineral Resources (MEMR) has approved the plan of development (POD) for the Mako gas field at the Duyung production sharing contract (PSC), offshore Indonesia, said a joint statement.
Mako is located on the Duyung production sharing contract, which covers 890 square kilometres offshore the Riau Islands province.
Tom Kelly, CEO of Empyrean, said: "The POD approval by the Ministry of Energy and Mineral Resources in Indonesia is another important milestone in progressing the Mako Gas Field towards producon. Tenure has now been secured on the Duyung PSC out to 2037 which reduces risk and adds intrinsic value to the project."
"Importantly, the POD approval is also crucial to advancing negoaons of the heads of agreement into a gas sales agreement with the buyer in Singapore for the off-take of Mako gas. It also paves the way for appraisal later in the year that can increase resources at Mako and hopefully test the deeper Tambak prospect," he added.
The Duyung PSC covers approximately 890 km in the Riau Islands Province, situated in the offshore Indonesian waters of the South China Sea, and is proximal to the West Natuna Transportaon System (WNTS), a gas pipeline to markets in Singapore.
WNTS currently supplies approximately 0.4 billion cubic feet (Bcf) of natural gas per day to Singapore. In June 2017, Empyrean parcipated in the successful Mako South-1 exploraon well. A recent resource audit by Gaffney Cline & Associates (RNS dated 21 Jan 2019) reported conngent 2C resources of 276 Bcf in the Mako Gas Field.