Under the terms of the Agreement, CBM Asia has the right to acquire 80% participation interest in the proposed coalbed methane PSC.
CBM will be appointed operator along with Tranaco to hold the remaining 20% participation interest in consideration for reimbursing Tranaco’s sunk costs and paying any signing bonus to the Indonesian government upon the award of a PSC.
CBM Asia and Tranaco have submitted a proposal to approve the award of coalbed methane PSC.
The proposal is based on a joint evaluation study undertaken by Tranaco in 2011.
