Conrad Asia Energy Ltd (ASX: $CRD) announcement overview

Conrad Asia Energy Ltd (ASX: $CRD) has signed a Memorandum of Understanding (MOU) with PT Perusahaan Gas Negara Tbk (PGN) to cooperate in the provision of gas or LNG supply and development infrastructure for gas resources from its Aceh Production Sharing Contracts (PSCs) in offshore Indonesia. The MOU aims to examine commercialisation options of the gas resources in the two PSCs, with a focus on the shallow-water discoveries. Conrad plans to acquire 3D seismic over the cluster of discovered resources in ONWA to better define the resource size and identify new prospects. The MOU is a significant step towards the commercialisation of the discovered resources and may become a key component of any future Plans of Development (POD).

Executive Commentary

Conrad Managing Director and Chief Executive Officer, Miltos Xynogalas, expressed excitement about the potential of the offshore Aceh areas and the recent major gas discoveries. He highlighted the near-term interest for PGN in the shallow-water discoveries, emphasizing their suitability for commercialisation via small-scale LNG plants. The MOU with PGN is seen as an important milestone towards the maturation of the discovered resources in the Aceh PSCs.

Summary of ASX announcement

Conrad Asia Energy Ltd (ASX: $CRD) has entered into an MOU with PGN to develop gas resources from its Aceh PSCs in offshore Indonesia. The MOU aims to examine commercialisation options of the gas resources, with a focus on shallow-water discoveries. Conrad plans to acquire 3D seismic to better define the resource size and identify new prospects. The MOU is a significant step towards the commercialisation of the discovered resources and may become a key component of any future Plans of Development (POD). The company's Managing Director highlighted the potential of the offshore Aceh areas and the suitability of the shallow-water discoveries for commercialisation via small-scale LNG plants. The collaboration with PGN is expected to explore opportunities to commercialise the resources.