Sino Gas & Energy, CUCBM Sign Contract Extension

Sino Gas & Energy Holdings Limited has agreed to a three year extension to the exploration period on the Linxing PSC with its partner, China United Coalbed Methane (CUCBM).

The company has also submitted its first Chinese Reserve Report (CRR) on the Linxing Production Sharing Contact (PSC). The CRR covers gas in the North-East portion of Linxing.

CUCBM will then provide the report to the Chinese Ministry of Land & Resource (MOLAR) for approval, Sino Gas & Energy said in a statement.

Preparing a CRR is the first step in a two-step regulatory process to develop gas assets into producing fields in China. After receiving CRR approval from MOLAR, the company can then focus on preparing the Overall Development Plan (ODP) for full field development.