In regards to Ngurit, I do agree that it could be commercial if someone does build a power generation facility for the gas. However, with the current financial state of the Indonesian government, I doubt that they can afford to build it. Also, from a public company point of view, I do not think that this sort of project will attract much attention: another Canadian company, Ocelot Energy on the T.S.E., is trying to develop a similar project in Africa (Tanzania, I believe), involving natural gas production and power generation, but the market does not seem to care (even though they have World Bank/IMF financing).
For these junior, international energy companies, the market tends to want to see big potential for OIL reserves and production. That is why I think that they need to bring in new projects in Indonesia (which they are trying to do) and elsewhere, with some existing oil production and potential for much more, before the stock can really attract some attention. |
