Cougar Energy is continuing its expansion into Asia, with a new agreement to identify coal deposits with potential for underground coal gasification in Indonesia.

The company has signed a Memorandum of Understanding with Indonesian mining company PT Medco Energi Mining Internasional, with the potential to form a joint venture to develop projects in the country.

The agreement seeks to bring UCG into the mainstream of energy supply in Indonesia, which would enable the provision of a cheap, clean source of power using local coal resources.

This could potentially supplement Medco’s affiliate’s current power generation capacity of about 200 megawatts.

The companies have identified target coal resources to assess.

Cougar Energy has been expanding its activities in Asia, focussing on China, Mongolia and Indonesia.

(Sourced from www.proactiveinvestors.com.au)