The Directors of Arrow Energy says that Arrow has signed a Memorandum of Understanding with Indian government owned ONGC Limited to cooperate in Coal Bed Methane (CBM).

The focus of this MOU will be potential cooperation on existing ONGC blocks from previous CBM licence rounds in India together with possible cooperation in certain Australian acreage, to be determined. Following the signing of this general MOU, work will immediately begin to formulate specific commercial agreements on defined CBM assets.

Speaking from the signing ceremony in New Delhi, Arrow CEO and MD Nick Davies said “We are delighted to be working with a company of ONGC’s experience and stature. We think that the combinations of ONGC’s asset base and Arrow’s specific CBM experience will be a powerful force in India’s CBM development. This, together with our current, exceptional partnerships in India, will give Arrow a broad collection of CBM opportunities in which to engage.”

Tags: Arrow Energy Ltd, ONGC