The Kutai II Joint Acquisition Agreement outlines the responsibilities of participating members in conducting a Joint Evaluation Study of the Kutai II Block and submitting an application for a Production Sharing Contract (PSC) to the Director General of Oil and Gas (MIGAS).
The Kutai II Block is adjacent to the existing Kutai-West PSC of which Newton, CBM Asia and Ephindo share interests.
CBM Asia Development is a Canadian-based unconventional gas company with significant coalbed methane (CBM) exploration and development opportunities in Indonesia.
The company has entered into a binding letter of intent to acquire a participating interest in a production sharing contract (PSC) for CBM on a 58,349 hectare block located in the South Sumatra Basin where initial exploration drilling of a production test well commenced in the second half of 2009.
