Far East Energy Sees Further Gas Build Up at Shouyang CBM Block

Far East Energy Corporation has announced further gas build up at the Shouyang coal bed methane block in Shanxi province in China.

As of January 6, 2014, production from the Shouyang Block has reached 1,676,518 cubic feet per day (1,677 Mcf/d). 

“This is up a further 7% from the production figure released on December 31, 2013. Production growth continues to be seen from both new and older wells,” the company said.

Gas output has risen almost 130% since early November.

“This rapid and steady rise in production could not have come at a better time as our gas price, inclusive of current subsidies, has increased to RMB 1.95/m3, equivalent to $9.12/Mcf, on January 1, 2014 and SCB extended its facility on December 31, 2013,” CEO Mike McElwrath said.  

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