Asian American Gas, Inc.: Asian American Gas Inc. (AAGI) is a young, energetic and fast-growing American company backed by world-renowned energy investment funds and mining companies. AAGI is primarily engaged in the exploration, development and production of coal bed methane (CBM) in China. Barely one year old, but being comprised of a group of people with more than a decade of experience in coal bed methane (CBM) exploration and development in China, AAGI has already established itself as one of the top foreign coal bed methane operators in China.
During the past decade, AAGI has developed the most advanced multi-lateral drilling (MLD) technology in China. In 2004, China's first coal bed methane MLD well was successfully planned, drilled, tested and completed by AAGI, with a record daily production rate up until now. This is not only a milestone for AAGI, but also an unforgettable page in China's CBM industry development.
AAGI currently holds two CBM concessions in the Shanxi Qinshui basin: Panzhuang block and Mabi block, which are about 150km2 and 1370km2 respectively. The proven reserve for Panzhuang block is 20.4 billion cubic meters (bcm), and it is one of only three blocks in China that has obtained government CBM reserve certification. The Mabi block holds a total gas in-place reserve of 3.5 trillion cubic feet (tcf) based on a preliminary evaluation. The accumulated investment volume that AAGI has put on CBM has exceeded over USD 80 million.
Up to now, the total output for the six gas wells has reached 300,000 m3/day, and the highest gas output for a single well has reached 94,000m3/day.
Recently, the Coalbed Methane Resources Development Plan in Panzhuang, owned by AAGI and its Chinese cooperative partners, has been approved by the Energy Bureau of The National Development and Reform Commission. AAGI is the first foreign company to obtain NDRC's approval for CBM commercial development in the last twenty years, and hopefully make the Panzhuang project the first CBM commercial development project. This also shows the great importance that the Chinese government attaches to CBM. AAGI will work with all its cooperative partners, utilizing advanced CBM technology, and make contributions to the development of clean energy and integrated development of de-gassing and coal mining.