AI’s answer to the value of EME’s share of the Mako gas field10 Nov 2025 17:17
The net value of Empyrean Energy's 8.5% share of the Mako gas field is not a fixed, publicly stated figure in recent reports, but is subject to ongoing commercial negotiations and market variables. Company documents from May 2023 mentioned an independent expert estimate of approximately US$266 million net to Empyrean based on a specific report, but this value is contingent on the project reaching a Final Investment Decision (FID) and is an unrisked contingent resource valuation.
Key factors and current status:
Ownership: Empyrean holds an 8.5% interest in the Duyung Production Sharing Contract (PSC), which contains the Mako field.
Valuation Estimates: Various market commentators and internal reports have proposed a wide range of potential values, from very low (if the project fails to progress) to significantly higher estimates (such as 50p per share, which implies a very high total value if commercialised successfully). The most recent official reference in May 2023 suggested US$266 million as a contingent resource valuation.
Commercialisation Progress: Recent developments in 2025, including a binding Gas Sales Agreement (GSA) with an Indonesian state-owned utility (PLN EPI) for domestic supply, have been positive steps towards commercialisation and are expected to support the project's value. This GSA replaces a prior agreement and links the gas price to the Indonesian Crude Price (ICP), which is considered favourable.
Next Steps: The operator, Conrad Asia Energy, is in the process of a farm-down (partial sale of interest) to a preferred partner, which is a critical step towards securing the necessary funding and reaching the Final Investment Decision (FID). The timing of the FID will finalise the project's commercial viability and thus its definitive net value.
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