NuEnergy Gas is Indonesia’s independent clean energy provider, fully committed to exploration projects used to bring forward a new era for gas production.
CLEAN ENERGY
Since its acquisition by Malaysian investment holding company, Globaltec Formation Berhad in 2014, NuEnergy Gas Limited (NGY) has found a new lease of life in the oil & gas industry. The independent clean energy coal-bed methane (CBM) company was founded in Australia in 1985, and now has the resources to develop a set of exciting CBM prospects in South Sumatra.
At present NGY is primarily involved in the exploration, appraisal and development of coal seam gas or coal-bed methane centrally focusing its efforts in Indonesia.
“Our current workload includes five onshore production sharing contracts (PSC) across South Sumatra and East Kalimantan,” explains Ian Wang, Chief Executive Officer at NuEnergy Gas. “We are fully focused on the quick movement of these high value unconventional gas assets, moving them from the exploration phase to the development and monetising stages of the project.”
PIPELINE POTENTIAL
The Company firmly believes in the PSC’s that it is working on at present and the potential that they have to produce clean energy gas; providing that an appropriate strategy and an experienced technical and financial management team are in place.
“The previous three and a half years of practice within the Company has provided us with an exceptional team and subsequently the progress we are making in PSC’s is being fast-tracked,” continues Wang. “A great example is one of our PSC’s located in South Sumatra, which we have moved into the Plan of Development preparation phase that we hope will enable us to deliver gas into the market in the next 12 to 18 months.”
The Company is hopeful that all of the PSC’s that are currently in the pipeline with a focus in South Sumatra will be moved onto development stages within the next two to four years, creating numerous opportunities for it to excel in the market.
“The majority of our investments since 2016 have been centrally focused on bringing our Tanjung Enim PSC through to development,” adds Wang. “Our first pilot for the project was drilled in 2016 and was followed shortly after by the reserves certification required to gain approval from the Government of Indonesia, leading to the approval to prepare the Plan of Development which commenced in August, 2017.”
EXPLORATION PROJECTS
The Company is at the forefront of developments in Indonesia, as the first company in the country to upgrade a CBM asset from exploration to production, as well as the first industry to deliver gas to the local market.
“We are extremely proud of our innovative nature and the fact that we are able to operate as a low-cost company,” Wang adds. “From the CBM wells we have drilled within Indonesia, to our well-to-well cost, we have always been between a third and a half lower than our industry peers.
“We have the skill, people and technology required to deliver CBM to domestic markets quickly across a wide range of services.”
NGY is extremely proud of its people and firmly believes in them to be at the heart of the Company and what it does. Through instilling values of ethical behaviour and offering active employee training, it has ensured that all projects are carried out by the best in the industry.
Some recent projects undertaken by the Company’s team include Tanjung Enim PSC, Muralim PSC, Muara Enim PSC and Muara Enim II PSC.
“Our Tanjung Enim venture was located close by to a growing economy of the two industrial cities of Prabumulih and Palembang respectively,” states Wang. “We were able to work within well developed infrastructure thanks to the long-established Bukit Asam Coal mine and Pertamina oil & gas facilities.”
Due to the excellent potential found when working near Prabumulih and Palembang, the Company’s other recent projects have been taking place there. Co-located with Tanjung Enim, NGY is using its Muara Enim PSC, Muara Enim II PSC and Muralim PSC as a project to provide opportunities for integrated development within the industry.
“Situated about 65 kilometres from some of the major gas trunk lines that lead to Java market and with export opportunities to Malaysia and Singapore, and is proving to be enduringly successful,” Affirms Wang.
One of the Company’s newer projects located slightly away from the co-located projects previously mentioned is Bontang Bengalon PSC. The asset NGY is working on is located in close proximity to the growing industry cities of Bontang and Sangatta. Again, the project had already provided the Company with well developed infrastructure with thanks to the establishment of Bontang LNG Plant in Bontang and the pre-existing mining infrastructure in Sangatta.
DELIVERING CLEAN ENERGY
When working in an industry that is so inundated with similar companies, NGY has had to firmly establish itself as the industry leader in Indonesia.
“At NuEnergy our management team are recognisably hands-on, with all of them possessing years of industry experience that range from subsurface to dewatering and project completion to gas delivery,” continues Wang. “We have complete certainty that we have assembled the right mix of people with the industry knowledge to appraise excellent CBM assets with ease and at a low cost.”
Alongside the excellence found with the Company’s staff, its core strengths include in-depth technical expertise, strong local capability, trusted relationships within the Indonesia energy community and a well established reputation as business partner of choice within the country.
“Moving forward, delivering clean energy to the market while also protecting the environment will maximise our returns to investors,” concludes Wang. “However, it is also important to us to continue our work in connecting resources to local communities and the people living there.
“We hope to continue on with our focus on the four South Sumatra PSC’s in order to develop the large CBM supply we have been working on recently; I hope that in the future I will be discussing the continued success of these projects.”
