Oilfields development
Indonesia Readies CBM Flows
Indonesia expects to begin producing gas from coal bed methane projects in May this year, oil and gas watchdog BPMigas said today.
The first production would come from the West Sangatta I area on Kalimantan province, operated by West Sangatta CBM, BPMigas's deputy of operations Budi Indianto said.
"The area is targeted to begin production in May 2011, with a production rate of 1 million standard cubic feet of gas per day," Reuters quoted Indianto as saying.
Indonesia began to explore non-conventional gas reserves from 2008 in a bid to anticipate soaring domestic demand. Indonesia has so far awarded 23 coal bed methane contracts and companies such as BP see growth potential for the sector.
Indonesia's energy ministry says the gas produced from coal bed methane will be supplied mainly to the power sector.
Five coal bed methane working areas were expected to begin production this year, producing in total 5.5 million cubic feet per day, or equivalent to 13.75 megawatts of power, Indianto said.
