Canadian Firm to Explore for CBM in Sindh

Government of Sindh province in Pakistan has given go ahead to Cathay Oil and Gas Limited, a Canada-based company to explore and develop the coal bed methane (CBM) resources under the `Thar Coal Methane project', according to Business Recorder.

The project aims to produce five trillion cubic feet of methane gas over the period of 30 years, Business Recorder said citing a statement from the government.

Sindh would be benefited with $100 million royalties and $175 to $400 million annual taxes from this project, the report said. 

The plan is to monetise the gas by either selling it to the national grid or by transforming it in to synthetic diesel or plastic plus ammonium or utilising the gas to produce electricity.