South Sea Energy announced that it has signed a Letter of Intent with PT Yasa Summa Energy, which will assist in identifying and acquiring additional coal bed methane (“CBM”) projects in East Kalimantan, Indonesia. A definitive agreement outlying the terms is expected in the coming weeks.
The company is also actively working on signing a definitive agreement to acquire an interest in a joint venture coal bed methane project. The completion of the acquisition will supply South Sea with rights to participate in a joint venture containing a 1,200 km2 exploration and development block.
The President of South Sea Energy stated, “Working directly with a respected local company such as PT Yasa will strategically position South Sea to become a major player in Indonesia’s up-and-coming CBM industry. Having local expertise is the key to success as these companies understand Indonesia’s business environment and have extensive experience working with Government agencies.”
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