Green Dragon’s Output Rose Significantly Last Year

Chinese coal bed methane firm Green Dragon’s Chinese gas output rose 126 percent to about 407 million cubic feet in the fourth quarter last year as the number of wells drilled by the company also increased sharply.

Last year, the number of wells the company drilled rose by 131 percent to 67. Green Dragon’s gas output in 2011 stood at 1.68 billion cubic feet.

The firm is working to monetise its significant gas assets, which comprise both production and distribution operations.

Green Dragon Gas has a large CBM resource in China with proved and probable reserves of 273 billion cubic feet and 2.6 trillion cubic feet of net proven, probable and possible reserves.

The midstream business expects to start selling gas to PetroChina Huabei in the second quarter of this year, once work to connect gas pipelines is complete. 

Meanwhile, in the downstream business, the company has signed a deal to supply around 1 million cubic feet of compressed gas to fuelling stations used by fleets of dual-fuel transport businesses in the Henan province in central China.