Globaltec shares most actively traded on unit's approval for plan of development for Tanjung Enim PSC

PETALING JAYA: Globaltec Formation Bhd's (GFB) share price was up half a sen or almost 10% on news of its Australian Securities Exchange listed subsidiary NuEnergy Gas Limited (GY) approval to prepare its plan of development for Tanjung Enim Production Sharing Contract (PSC).
Trading in GFB's shares, which was halted pending the announcement, hit six sen on opening trade. It quickly became the most actively traded stock, after resuming trade at 10am. Some 54.7 million shares have been traded thus far.
The announcement is a significant milestone for the Globaltec group's aspirations to deliver its first coal bed methane supply.
In a filing with the stock exchange today, GFB said NGY received the approval from the Indonesian Special Task Force for Upstream Oil and Gas Business Activities (Satuan Kerja Khusus Pelaksana Kegiatan Usaha Hulu Minyak dan Gas Bumi or "SKK Migas").
NGY will work closely with SKK Migas to submit the plan of development to the Indonesia Minister of Energy and Mineral Resources, through the Head of SKK Migas, before the end of the year.
Both the partners for the Tanjung Enim PSC, PT Pertamina, an Indonesian state owned oil and gas company and PT Bukit Asam, an Indonesian state owned coal mining company, have given their commitments to the plan of development preparation and to the long term development of the PSC.
The proposed concept for the initial plan of development, plans for the development in two target areas, in the north and north-west of the Tanjung Enim PSC where NGY has focused its exploration, drilling and pilot production activities over the last eight years.
The target buyers will be focused around the proposed plan of development areas, which is close to the existing networks and markets with gas infrastructure. During the plan of development preparation, NGY will carry out discussion with the target buyers and negotiate on gas sales agreements.
NGY will focus its effort on the timely execution of the plan of development preparation process and to deliver the proposal by the end of the year.