Criterium Energy has signed a binding long-term gas sales agreement with PT Perusahaan Gas Negara Tbk, or PGN, covering production from its Southeast Mengoepeh gas development in Indonesia.
The agreement runs through 2040 and includes fixed pricing and a take-or-pay commitment. Contracted volumes and pricing were not disclosed, but Criterium continues to expect realised gas pricing towards the upper end of its previously stated $6.00 to $7.00 per million British thermal units range.
The deal gives Criterium a committed buyer before first gas and reduces uncertainty around future demand. The take-or-pay structure also provides greater revenue visibility once production begins, while fixed pricing limits exposure to gas price volatility.
The Southeast Mengoepeh, or SE-MGH, development was approximately 85% complete at the time of the announcement. The project includes a 25-kilometre pipeline linking the field to existing processing infrastructure.
Criterium is targeting first gas in September 2026, with initial production expected at between 5 million and 8 million cubic feet per day. With the sales contract now in place, the main near-term focus is completing construction, commissioning the project and reaching planned production levels.
The company also reported its second-quarter 2026 financial results alongside the agreement. Operating cash flow rose to C$1.5 million from C$0.2 million in the same period a year earlier. Cash at 30 June 2026 was C$2.4 million, up from C$2.0 million at the end of 2025.
Criterium Energy Ltd (TSXV:CEQ) is Canadian-based upstream energy company focused on the aggregation and sustainable development of assets in Southeast Asia that can deliver scalable growth and cash flow generation.
