KUALA LUMPUR (Aug 3): Globaltec Formation Bhd's Australia-listed subsidiary NuEnergy Gas Ltd has secured Indonesia's approval to prepare the initial plan of development (POD) for the Tanjung Enim production sharing contract (PSC).

Globaltec told Bursa Malaysia today that NuEnergy had received the approval from the Indonesian Special Task Force for Upstream Oil and Gas Business Activities (Satuan Kerja Khusus Pelaksana Kegiatan Usaha Hulu Minyak dan Gas Bumi).

"This approval marks a significant milestone for Globaltec group of companies as we work towards delivering the group's first coal bed methane supply. NGY (NuEnergy) will focus its effort on the timely execution of the POD preparation process and to deliver the proposal by the end of the year.

"Both the partners for the Tanjung Enim PSC, PT Pertamina, an Indonesian state-owned oil and gas company, and PT Bukit Asam, an Indonesian state-owned coal mining company, have given their commitments to the POD preparation and to the long-term development of the PSC," Globaltec said.

Globaltec's share trade was halted between 9am and 10am today in conjunction with the announcement.

At 10:10am, Globaltec shares rose 0.5 sen or 9% to six sen for a market value of RM322.9 million. Globaltec saw some 42 million shares traded, making the stock Bursa Malaysia's most active.