23rd Feb 2026 12:10
(Alliance News) - Empyrean Energy PLC on Monday said it has settled binding documentation for a settlement of historical cash call arrears with Conrad Asia Energy Ltd.
The oil and gas explorer with interests in Australia, Indonesia, and the US said Conrad Asia and its subsidiary West Natuna Exploration Ltd, which is the operator of the Duyung production sharing contract and the Mako gas field in Indonesia.
The development means Conrad has satisfied all conditions for a farm-out, triggering the cash payment of USD5.0 million to West Natuna Exploration.
This is the first instalment of the agreed upfront cash consideration of USD16 million under the farm-out.
Empyrean said this will be followed by a payment of USD4.0 million to West Natuna Exploration in 30 to 45 days.
The final payment of USD7.0 million will be paid upon production, which is currently targeted for late 2027.
Under the agreement with Conrad, Empyrean is entitled to 8.5% of all cash payments to West Natuna Exploration.
Empyrean said the settlement paves the way for a formal commitment to develop the Mako gas field.
"With these agreements now executed, Empyrean has secured a stable and clearly defined framework for participation in a high-quality gas development project," the firm said.
Empyrean added that it is reviewing its existing asset portfolio, which may result in the divestment or restructuring of certain non-core assets to "enhance financial flexibility and sharpen operational focus".
"With the execution framework now firmly in place, the Mako project is positioned to progress in earnest, supported by clear alignment between Conrad and Empyrean," said Empyrean Energy interim Chief Executive Officer Gaz Bisht.
Shares in Empyrean Energy were up 3.5% at 0.075 pence at midday on Monday in London.
By Michael Hennessey, Alliance News reporter
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