Singapore – Conrad Asia Energy Ltd (ASX: CRD) (“Conrad” or “the Company”) has announced a major operational milestone in its push to commercialise significant shallow-water gas resources offshore Aceh, Indonesia, with a new 3D seismic survey and a substantial upgrade to prospective resources.
A 3D seismic contract has been awarded to a domestic contractor for the Company’s 100%-owned Offshore North West Aceh (Meulaboh) Production Sharing Contract (ONWA PSC). Acquisition is expected to commence in late September or early October 2025, with processed results anticipated in Q1 2026.
The survey will target a 500 km² shallow-water area (50–80m depth) containing three discovered gas fields and six high-potential leads, where historical exploration success rates approach 70%. Data from the program will help refine existing discoveries, de-risk exploration targets, and pave the way for early-stage development opportunities to supply Indonesia’s growing domestic gas market.
Conrad has also upgraded its internal assessment of shallow-water prospective resources in ONWA and the adjacent Offshore South West Aceh (OSWA) PSC to an estimated 546 Bcf (gross unrisked P50), of which 394 Bcf is net to Conrad. This is in addition to 216 Bcf of contingent resources from existing discoveries and 15 Tcf of deeper-water prospective resources previously reported.
Conrad Managing Director and CEO Miltos Xynogalas said the survey was the first step toward unlocking Aceh’s near-shore gas potential.
“The shallow-water near shore area of Aceh represents a major opportunity for Conrad to commercialise a substantive resource. The upcoming 3D seismic is the first step towards this objective. Modern data is expected to better define the existing discoveries, de-risk existing prospectivity and identify new exploration potential.
The resource update highlights the potential within the shallow-water of both PSCs and builds a more material gas resource for future project development.
Conrad has a significant portfolio of gas projects in one of the world’s fastest growing gas consumption regions. In addition to the shallow-water gas discoveries mentioned above and the Mako gas project in West Natuna, we are building a growing inventory of Prospective and Contingent Resources in our ONWA & OSWA PSCs. This represents a large opportunity set which in a success case will have a high valuation impact. Mako still remains the near-term focus, where we recently signed a binding Gas Sales Agreement for the sale of 392 trillion British thermal units (“TBtu“)4. Conrad is continuing its discussions with potential partners in the Mako development. The continued and growing importance of natural gas to Asian economies, especially in the context of the energy transition, cannot be overstated.”
The Company is in advanced talks with a potential equity partner for a minority, non-operated farm-in to ONWA, and is also progressing plans to drill up to two wells targeting shallow-water discoveries and prospects.
In parallel, Conrad is working with PT Perusahaan Gas Negara (PGN) on a small-scale LNG project and PT Perusahaan Listrik Negara (PLN) on gas-to-power initiatives that could connect to North Sumatra’s electricity grid.
Conrad’s Aceh PSCs, awarded in 2023, cover 20,000 km² and have a 30-year tenure. Together with the Company’s flagship Mako Gas Field in the Natuna Sea – underpinned by a recently signed binding Gas Sales Agreement for 392 TBtu – these assets position Conrad to benefit from Asia’s rising demand for natural gas during the energy transition.
ENDS
About us:
About Conrad Asia Energy
Conrad is an Asia-focused natural gas exploration & production company concentrated on the shallow waters offshore Inonesia, and via its wholly owned subsidiaries, is the holder of several operated tenements in the form of Production Sharing Contracts. The Company’s flagship project is the Mako Gas Field located in the Natuna Sea in the shallow offshore waters of Indonesia. The Mako gas field is one of the largest gas discoveries in the region.
The Company specialises in the identification and acquisition of undervalued, overlooked, and/or technically misunderstood gas assets, and has developed expertise in maturing such assets through subsurface technical work, appraisal drilling and an innovative approach to low-cost field development.
The Board and management have a proven track record of value creation and deep industry experience with oil majors, midcap E&P and the upstream investment community, together with a successful track record of bringing exploration and development projects into production, with Peter Botten the founder and Chairman of Oil Search adding enormous depth and experience as Chairman of Conrad.
Contact details:
Jane Morgan
Investor & Media Relations
[email protected]
+61 405 555 618