Business
Mako Binding Gas Sale Agreement Signed with PGN
Mako Binding Gas Sale Agreement Signed with PGN.
About this update from Empyrean Energy Plc
[{"type":"text","content":"\n\nThis announcement contains inside information\n \nEmpyrean Energy Plc / Index: AIM / Epic: EME / Sector: Oil & Gas\n \nEmpyrean Energy plc\n \nMako Binding Gas Sale Agreement Signed with PGN\n \n24 June 2024\n \nHighlights\no Mako JV and PGN have entered into a binding Gas Sale Agreement for the domestic portion of the gas produced from the Mako field.\n \no This GSA will be subject to the construction of a pipeline connecting the West Natuna Transportation System (\"WNTS\") WNTS with the domestic gas market in Batam and it forms part of Mako JV's Domestic Market Obligation (\"DMO\") as set out in the Mako's revised Plan of Development (\"POD\").\n \no The Total Contracted Gas volume under the PGN GSA is up to 122.77 trillion British Thermal Units (\"TBtu\") with estimated plateau production rates of 35 billion British Thermal Units/ day (\"BBtud\"). The terms of the GSA are confidential.\n \no The remainder of the Mako sales gas volumes are targeted to be sold to Singapore where a non-binding Term Sheet was signed in 3Q 2023. The Mako JV is moving towards finalising a GSA for the Mako export gas over the coming few weeks.\n \no The GSA for the Mako resource with PGN builds an important platform with Indonesia's national gas company. The Mako JV will continue to grow its business relationship PGN with its other discovered gas resources offshore Aceh where the two parties signed a MOU in February this year.\n \nEmpyrean Energy plc (\"Empyrean\" or the \"Company\"), the oil and gas development company with interests in China, Indonesia and the United States, is pleased to announce that it, and the Mako JV partners have entered into a binding Gas Sales Agreement (\"GSA\") for the sale and purchase of the domestic portion of Mako gas with PT Perusahaan Gas Negara Tbk (\"PGN\"), the gas subsidiary of PT Pertamina (Persero), the national oil company of Indonesia.\nThe GSA with PGN for gas from the Mako gas field (in which Empyrean has a 8.5% Participating Interest), is an important step in the commercialisation of the Mako gas field (the largest undeveloped gas field in the West Natuna Sea). PGN is Indonesia's largest gas company. A separate GSA is being negotiated for the remainder of the Mako gas resource which is targeted to be exported to Singa...