Sembcorp Long-Term Supply Deal Shines a Silver Lining on Duyung Block

West Natuna Exploration (WNEL), a subsidiary of Conrad Asia Energy, signed a non-binding terms agreement with Singapore state-owned energy provider Sembcorp Gas for the long-term gas supply from the Mako Field in the Duyung Block, Natuna.

Empyrean Energy, one of the participating interest holders in the Duyung Production Sharing Contract (Duyung PSC), said the agreement concerns Mako Field gas production in 2025-2037, or when the Duyung PSC expires.

Empyrean Chief Executive Officer Tom Kelly stated that an agreement had been reached between the operator and a major gas utility company. "The focus is now on turning this important milestone into a binding gas sales agreement," he said on Sept 14.

The deal will see the Duyung PSC supply 293 billion cubic feet of gas, potentially increasing to 392 billion cubic feet. WNEL holds 76.5 percent participating interest in Duyung PSC, while Empyrean controls 8.5 percent. Coro Energy Duyung, a subsidiary of Coro Energy, owns the remaining 15 percent.