Australia Listed Triple Energy to Start Drilling for CBM in China

Australia listed Triple Energy and its partners have signed an agreement with CBM-specialist drilling company Beijing Jiuzun Energy Technology Co Ltd for the drilling and technical services for two CBM wells in the Hegang area of China’s Daqing Basin.

Under the terms of the previously announced binding Memorandum of Understanding (MoU) with Blue Sky Power (BSP), payment for the Jiuzun Energy drilling services are the responsibility of BSP, in consideration for which Triple will issue 595,264,168 shares at a price of $A0.006 to BSP to the notional value of US$2,750,000 (A$3,571,585), Triple said in a statement published on Monday.

The drilling contract covers drilling, coring, drill stem testing and fracturing operations for two wells in the Hegang mine areas to depths of between 800 metres and 1,000 metres.

Once drilled, both wells will be production tested for six months.