Triangle Energy (ASX: TEG) has formed a new joint venture company with Aceh Government owned Perusahaan Daerah Pembangunan Aceh (PDPA) to secure a new production sharing contract over the Pase gas field.
The joint venture marks the first time a foreign company has joined with an Aceh Government company to manage an oil and gas field and potentially provides Triangle with further exploration and production opportunities in Aceh.
The new company, Aceh Pase Global Energy (APGE), will be incorporated in Singapore and will be 75% owned by Triangle and 25% by PDPA.
APGE will work together with the Aceh Government to facilitate the award of the new Pase PSC via the Indonesian Ministry of Energy and Mineral Resources’ agency MIGAS.
Triangle has been operating Pase since 2009 and will continue to do so until finalisation of a new PSC.
The application to MIGAS is processed and the new 30 year PSC is awarded, APGE will take responsibility for the operation of the block.
Pase produced 88.6 million cubic feet of gas during the March 2013 quarter, generating gross revenue of US$1.75 million.
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