Andalas Energy and Power Plc, the AIM listed Indonesian focused upstream oil and gas and power company (AIM: ADL) is pleased to announce that all resolutions were passed at its annual general meeting held today.
The following statement from Chairman, Paul Warwick, was given at the meeting: “Since our readmission to AIM earlier this year, much progress has been made towards delivering on our strategy to deliver gas to power projects on discovered but stranded gas fields in Indonesia. We have progressed activities at Tuba Obi East, our first stand-alone project, where we have received approval to complete a workover of the existing TOE-1 well to test the ABF formation, and we continue to work with PT Akar Golindo, the operator, to assess the details of the work programme.
“In tandem with this, the recent MOU with Pertamina represents a major achievement for any company, let alone one of Andalas’ size, and it is testament to the experience and contacts of the management team. We believe that as we convert the MOU into projects, the inherent value in Andalas’ gas to power proposition will be progressively delivered with the first project being the template for subsequent projects providing scale and sustainability to the Andalas investment proposition.
“We have focussed on gas to power as a concept that offers very attractive economic returns that are not as affected by international commodity price volatility. Furthermore, in order to minimise the time from inception of a project to its first revenues, we target discovered resources, which removes the expensive and time consuming exploration phase normally encountered by upstream oil and gas companies. Furthermore, by focussing on a region where we have real knowledge, specifically on the Indonesian gas market, which we are experts in, we have real scope to grow Andalas into a significant Indonesian energy company.
“Nevertheless, despite our expertise and stringent selection criteria we cannot avoid the fact that our projects, in common with similar projects in our industry have a cycle time that must be measured in many months not in many weeks. The Andalas team are experts at identifying projects, screening them, securing them and then progressing them by developing a plan, obtaining approvals and awarding contracts etc. These processes are important in ensuring that we build proper foundations from which to grow Andalas’ business.
“Much progress has been made since the IPO and especially since the signing of the MOU with Pertamina in September. Shareholders can rest assured much activity is taking place behind the scenes to ensure that Andalas fully capitalises on the excellent opportunities it has identified. We very much believe that we offer a unique value proposition that provides real value in all phases of the life cycle for our shareholders.”
For further information, please contact:
|David Whitby||Andalas Energy and Power Plc||Tel: +62 21 2783 2316|
|Cantor Fitzgerald Europe
(Nominated Adviser and Joint Broker)
|Tel: +44 20 7894 7000|
|Peterhouse Corporate Finance
Limited (Joint Broker)
|Tel: +44 20 7469 0930|
|Colin Rowbury||Cornhill Capital (Joint Broker)||Tel: +44 20 7710 9610|
|St Brides Partners Limited||Tel: +44 20 7236 1177|