Thai Coal Miner Banpu Buys Stake in US Shale Gas Field

Thailand’s Banpu announced some new strategic initiatives at its annual general meeting held on Tuesday, increasing focus on low emission power, renewable and unconventional energy.

The company, which is primarily in coal mine development, has bought 29.4 percent stake in a US shale gas field. It has paid $112 million to pick up the stake in Chaffee Corners Joint Exploration Agreement, a shale gas operation in the northeast section of the Marcellus formation in Pennsylvania.

Banpu’s net interest in the Chaffee Corners JEA is equivalent to proved reserves of 156 billion cubic feet of dry natural gas. It targets the net output of around 21 million cubic feet per day this year, the company said in a statement published on Thai stock exchange.

Although, the company will continue to focus on and develop its coal and power business, a growing emphasis will be placed on harnessing the potential of new energy technologies, lower environmental impact fuels and supply chain integration synergies.