Business
Mako Gas Project - Updated Plan of Development
Mako Gas Project - Updated Plan of Development.
About this update from Coro Energy Plc
[{"type":"text","content":"\n \n \n 9 September 2022\n \n \n \n \n \n \n \n \n Coro Energy Plc\n \n \n \n (\"Coro\" or the \"Company\" and together with its subsidiaries the \"Group\")\n \n \n \n \n \n \n Mako Gas Project - Updated Plan of Development\n \n \n \n \n \n \n \n \n Coro Energy PLC, the Southeast Asian energy company with a natural gas and clean energy portfolio, is delighted to announce that the partners in the Duyung PSC have approved an updated Plan of Development (\"PoD\") and have approved and secured alignment with SKKMIGAS on the PoD. The PoD now been submitted to the Indonesian Ministry of Energy and Mineral Resources for approval. Coro holds a 15% interest in the Duyung PSC.\n \n \n \n \n \n Coro\n is also pleased to announce that an Operator commissioned Competent Persons Report (\"CPR\") has been prepared by GaffneyCline Associates (\"GCA\") for the Mako development.\n \n \n \n \n \n \n Highlights:\n \n \n \n ·\n Revised PoD approved by partners\n \n \n ·\n Based on the CPR:\n \n \n o \n Compelling project economics:\n \n \n §\n 51% IRR\n \n \n §\n NPV10 net to Coro of\n US$87M\n (US$577M gross) in the Best Case (2C) scenario\n \n \n o \n 42 Bcf net entitlement 2C resources to Coro during the PSC life\n \n \n o \n Plateau production of 120 MMscf/d for six years in the Best Case (2C) scenario\n \n \n o \n CPR capital expenditure requirement to first gas estimated at US$251M gross (US$38M net to Coro). Coro expects to secure a Reserve Based Lending facility for a large portion of the capital.\n \n \n ·\n Operator has indicated that termed Gas Sales Agreements (\"GSA\"), for gas sold into Singapore, are under discussion with SKK Migas with a view to finalising sales arrangements in the near future.\n \n \n \n \n \n The Operator of the Duyung PSC is WNEL, a 100%-owned subsidiary of Conrad Asia Energy Ltd, and has continued to technically mature the development of the Mako gas field alongside negotiations of GSA(s), both in preparation for Final Investment Decision. This has included finalising the revised PoD, on which the JV partners have now secured alignment with governmental regulator, SKK Migas, and submission for ministerial approval. \n \n \n \n \n \n The GCA CPR is closely aligned with the PoD and is premised on a two-phased development wit...