NuEnergy Capital Limited
ABN 50 009 126 238
22 June 2015
EXPLORATORY WELL "SPUDDED" AT RENGAT PSC, INDONESIA
Drilling commenced at RE-CBM-01CE well
First of two CBM Coring And Exploratory Wells drilled In Central Sumatra, Indonesia
NGY to core, log and conduct Permeability Testing on Coal Formations
NuEnergy Gas Limited ("NuEnergy" ASX: NGY) is pleased to announce the commencement of drilling for the first exploratory well RE-CBM-01CE at the Rengat Production Sharing Contract tenement in Central Sumatra, Indonesia.
Mobilisation of the rig commenced in early June for well RE-CBM-01CE which is located approximately 195 km South of Pekanbaru, Indonesia. The MCQ 700 fully hydraulic automated truck mounted rig is currently being used to drill to a depth of 495 meters. The hydraulic rig was selected as it is ideally suited to Coal Bed Methane (CBM) operations. It is equipped with both coring and drilling top drives, requiring less manpower on site and provides a smaller footprint including the ease of inter-well mobilization. The hydraulic rig will be mobilised to the second well, RE-CBM-02CE located 30 km southwest of RE-CBM-01CE upon completion of drilling.
Rig Site at RE-CBM-01
NGY will core, log and conduct permeability testing on coal formations to identify and map coal continuity across the basin and to understand the reservoir characteristics for further development.
Corporate Office
Suite 2001, Level 20 Australia Square
264 George Street, SYDNEY 2000
AUSTRALIA
T: (+612) 9199 5522
F: (+612) 9247 8966
E: [email protected] www.nuenergygas.com
ABN 50 009 126 238
NuEnergy's Chief Executive Officer Dr Ian Wang commented: "Being the first prospect well to be drilled this year, we are extremely enthusiastic given the preliminary data results we have received thus far especially its close proximity to other oil and gas discoveries."
Rengat PSC covers 2,395km2 of Central Sumatra Basin and lies in between prolific oil and gas concessions located in the Central Sumatra Basin in the vicinity of a major gas pipeline from Jakarta to the Chevron Duri Steam Flood project and related infrastructure. NGY has a 100% working interest in Rengat PSC and is the operator of the PSC.
The Rengat Drilling Program is spearheaded by a team from New Century Energy Resources Limited who have vast experience in drilling CBM wells in Asia.
ABOUT NUENERGY GAS
NuEnergy Gas Limited (NuEnergy) is an emerging ASX listed gas and ancillary power generation development company with an immediate focus on establishing unconventional gas production in Indonesia.
NuEnergy has a strategy to acquire, explore, appraise and develop Coal Bed Methane ("CBM") acreage in this region. It is listed on the Australian Securities Exchange (ASX: NGY) with offices in Sydney (Australia) and Jakarta (Indonesia).
The Company's overall strategy is to explore and establish commercial resources/reserves over its CBM
projects, construct production facilities and commence production as soon as possible.
The Company is led by a team of experienced executives with a track record of successfully identifying and developing projects around the world. This team is complemented by the skills of our Indonesian partners to maximise the value of the company's coal bed methane opportunities.
Corporate Office
Suite 2001, Level 20 Australia Square
264 George Street, SYDNEY 2000
AUSTRALIA
T: (+612) 9199 5522
F: (+612) 9247 8966
E: [email protected] www.nuenergygas.com