This is last night's Conrad RNS - FYI23 Feb 2026 08:09
23 February 2026
Farm-Out Milestone Unlocks Consideration Payment
Highlights
ASX:CRD
Conrad Asia Energy Ltd (ASX: CRD) (the “Company” or “Conrad”), an Asia-focused natural gas exploration and development
company, is pleased to announce that the Company and its subsidiary, West Natuna Exploration Limited (“WNEL”), operator
of Duyung Production Sharing Contract (“PSC”), have satisfied all the conditions for the NNB PI Transfer1 to become effective,
triggering the immediate cash payment of US$5.0 million from PT Nations Natuna Barat (“NNB”). This is the first instalment of
the agreed cash consideration of US$16 million from the NNB PI Transfer. This will be followed by a subsequent payment of
US$4.0 million in 30-45 days. The third payment of US$7.0 million will be paid upon production, currently targeted for late
2027.
Conrad is also pleased to announce that, in accordance with the previously announced binding term sheet regarding the
settlement of cash call arrears dispute with Empyrean, Conrad, WNEL, and Empyrean have executed definitive documentation
giving effect to that settlement.
Conrad Managing Director and Chief Executive Officer, Miltos Xynogalas, commented:
“This milestone in our transaction with Nations brings the Mako field development further towards fruition, and represents an
important step in progressing the project to a Final Investment Decision (“FID”). Significant procurement activity, fully funded
by the previously announced Carry Loan Agreement2, is underway, marking Conrad’s transition from a gas explorer to a
producer. First production is anticipated to commence late next year, nearly a decade after discovering the field.
The immediate cash injection is timely for Conrad beyond Mako, allowing the company to advance operations in offshore Aceh,
where four undeveloped gas accumulations, combined with Mako, represent a substantial contingent resource base with the
potential to deliver a robust gas production growth profile well into the next decade.”
Duyung PSC – Mako Gas Field
Post Transactions 22.875% Participating Interest, Operator
Duyung PSC is located in the Riau Islands Province, Indonesian waters in the West Natuna area, approximately 100 kms to the
north of Matak Island and 400 kms northeast of Singapore. Upon completion of the transfer of Coro’s, Empyrean’s and WNEL’s
PI, Conrad will hold a 22.875% operated interest in the Duyung PSC via its interests in WNEL. The Mako field, located in the
Duyung PSC, contains 2C Contingent Resources (100%) of 376 billion cubic feet (“Bcf”), of which, post transfer, 58 Bcf will be
net attributable to Conrad (a decrease of 135 Bcf from the volume reported in the CRD YE 2024 Annual Report3).
Authorised by the Board.
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