CBM Asia Development Corp. has been informed by the operator Newton Energy Capital Limited of the preliminary gas content measurements from the second exploration well (CBM-KW-01) at the Kutai West Coalbed Methane Production Sharing Contract ("Kutai West CBM PSC") block, located in East Kalimantan, Indonesia. CBM Asia holds an 18% working interest in the Kutai West CBM PSC. Australian gas content contractor GeoGas measured the gas content of 12 coal core samples from the Balikpapan Formation in the CBM-KW-01 well. The gas content averaged 5.56 m3/t (178 scf/ton) on a preliminary, as-received basis (arb), i.e., prior to correction for ash and moisture content. The gas content of two samples exceeded 7 m3/t (224 scf/ton) arb. Previously, CBM Asia reported that approximately 32 meters of net coal was logged in this well. This second well confirms that thick coals with attractive coal seam gas contents are present in the Kutai West PSC. The block is located immediately adjacent to commercial CBM production and development taking place at BP/ENI's Sanga-Sanga PSC," comments CBM Asia Chairman Scott H. Stevens.