Dart Energy International has been awarded the Bontang Bengalon coalbed methane block in East Kalimantan, Indonesia.

A production-sharing contract (PSC) for the block is expected to be signed with the Indonesian government within 1-2 months, according to the company. The Bontang Bengalon block is located in the middle part of the Kutei basin in East Kalimantan, with a total area of 410.7 sq km (158.6 sq miles). The block is divided into two areas: the southern part being located adjacent to the Bontang LNG facility, and the northern part is 62 km (39 ft) north of that facility and adjacent to the Sangatta West PSC, in which Dart is a net 24% participant and joint operator.

Dart will be operator of the block with a 100% working interest. The PSC term will be for 30 years. In the initial three-year exploration period, Dart intends an exploration work program consisting of three core wells and one pilot well. First work is expected to commence in mid to late 2013.

Dart considers the Bontang Bengalon block to be highly prospective, given the significant exploration and pilot appraisal work undertaken at the neighboring Sangatta West block, where CBM reserves and commercial viability have already been established, the company said.