Range Announces New Georgia CBM Project

Range Resources has announced upcoming activity in Georgia, the former Soviet republic neighbouring Russia and Azerbaijan.

The Australian-based oil and gas companyissued a statement that it had, along with joint venture partners, Strait Oil and Gas UK and Red Emperor Resources, executed a heads of agreement with the Georgian Industrial Group (GIG). The agreement is with respect to the joint development of the Coal Bed Methane project (CBM) and conventional potential around the Tkibuli–Shaori coal field in the Republic of Georgia.

GIG, the largest industrial holding company in Georgia, has undertaken to receive all the gas produced on a take-or-pay basis. Work will start in the second half of this year.

The statement gives full details, based on GIG and the consortium establishing a development company on a 50:50 basis.