Coro Energy has received all necessary regulatory approvals for the transfer of a 15 per cent interest in the Duyung PSC, located offshore Indonesia, and has completed the acquisition of the interest.
Coro Energy entered into an agreement to buy a 15 per cent share in the Duyung offshore block in Indonesia, containing the Mako gas field in February 2019.
Coro agreed to pay $4.8 million and to contribute $10.5 million for the 2019 drilling campaign in order to acquire the Duyung PSC stake from West Natuna Exploration Limited (WNEL) which owns a 100% stake in the Duyung PSC.
WNEL is owned by Conrad Petroleum (90%) and Empyrean Energy (10%).
Despite delays in receiving approval from the Indonesian government , both Coro and Empyrean confirmed on Friday that all necessary Indonesian regulatory approvals for the transfer of title of the 15 per cent direct interest in the Duyung PSC to Coro had been received.
Accordingly, final completion of the acquisition of the PSC Interest by the company from West Natuna Exploration Ltd has now been achieved.
The license holders of the Duyung PSC are now Conrad Petroleum (76.5 per cent operated interest), Coro (15 per cent non-operated interest) and Empyrean Energy plc (8.5 per cent non-operated interest).
In related news, back in April, a resource update was prepared following an appraisal drilling campaign in the fourth quarter of 2019 at the Mako gas field.
The field is an extremely large, shallow structural closure of over 350 square kilometres. The reservoir is a Pliocene-age sandstone, with a gas-water contact at approximately 391 meters true vertical depth subsea.