VANCOUVER, BRITISH COLUMBIA--(Marketwire - May 4, 2011) - CBM Asia Development Corp. ("CBM Asia" or the "Company") (News - Market indicators)(US:CBMDF) (FRANKFURT:IY2) announces that MedcoEnergi penetrated 147 net feet of coal in the CBM-SE-04 exploration well at the Sekayu coalbed methane production sharing contract in South Sumatra, Indonesia. More than 20 coal core samples are undergoing gas content desorption.
On-site contractor Core Laboratories N.V. estimates gas content of up to 96 ft3/ton (as-received basis). As desorption continues, final gas contents are likely to be in excess of 100 ft3/ton (dry, ash-free basis). The new gas content data confirm the high (93%) coal seam gas saturation level measured by Weatherford International Ltd. at the CBM-SE-02 well, located 7 km northeast of the CBM-SE-04 well.
The coal cores, recovered from the Palembang B coal interval at an average depth of 2,100 feet, were observed to be naturally fractured and effervesced gas bubbles at the surface, which may indicate good gas content and permeability. CBM Asia's VP of Exploration James M. Charuk supervised coring and desorption operations along with Medco Energi geologists.
MedcoEnergi now plans to core the nearby CBM-SE-01 and CBM-SE-03 wells, which already have been pre-drilled and cased to the top of the coal section. Final gas content measurements for the three wells are expected to become available during the coming weeks, after which the Company plans to engage the services of a Qualified Reserves Evaluator to audit the coalbed methane resources of the block based on Canadian Standards of Disclosure for Oil and Gas Activities.
About Core Laboratories N.V. and Weatherford International Ltd.
Core Laboratories N.V. and Weatherford International Ltd. are leading global oilfield service companies active in testing and evaluating conventional and unconventional petroleum resources.
Filing Update
The Company's Statement of Reserves Data and Other Information as of the year ended December 31, 2010 has been filed with the applicable securities regulatory authorities and is available for review under the Company's profile on SEDAR.
ABOUT CBM ASIA DEVELOPMENT CORP.
CBM Asia Development Corp. is a Canadian-based unconventional gas company with significant coalbed methane ("CBM") exploration and development opportunities in Indonesia. The Company has entered into a binding letter of intent to acquire a participating interest in a production sharing contract ("PSC") for CBM on the 58,349-hectare Sekayu block located in the South Sumatra Basin where 3 exploration wells are currently being drilled by MedcoEnergi, following initial exploration drilling of a production test well in the second half of 2009. The Company has committed to fund an initial US$3.25 million in exploration expenditures on the Sekayu PSC to prove reserves and submit a Plan of Development to the Government of Indonesia. Sekayu Block Interests of the Company, Ephindo and Batavia Energy are held in South Sumatra Energy, Inc. The Company also has an 18% net working interest in a PSC for CBM on an 868.978 square kilometre block located in the Kutai Basin of East Kalimantan. Indonesia has one of the largest CBM resources in the world with a potential 453 trillion cubic feet in-place, more than double the country's natural gas reserves (Stevens and Hadiyanto, 2004). Since 2008 approximately 25 CBM PSCs have been granted by the Government of Indonesia, representing exploration commitments of over US$100 million during the next 3 years. In addition to CBM Asia, other companies active in CBM exploration in Indonesia include BP, Dart Energy, ENI, ExxonMobil, Medco, and TOTAL. The Company trades on the TSX Venture Exchange under the symbol "TCF". http://www.cbmasia.ca
ON BEHALF OF CBM ASIA DEVELOPMENT CORP.
Alan T. Charuk, President & CEO
This news release contains forward-looking statements, which relate to future events or future performance and reflect management's current expectations and assumptions. Such forward-looking statements reflect management's current beliefs and are based on assumptions made by and information currently available to the Company. Readers are cautioned that these forward looking statements are neither promises nor guarantees, and are subject to risks and uncertainties that may cause future results to differ materially from those expected. These forward-looking statements are made as of the date hereof and the Company does not assume any obligation to update or revise them to reflect new events or circumstances save as required under applicable securities legislation. This news release does not constitute an offer to sell securities and the Company is not soliciting an offer to buy securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of such jurisdiction.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release. 
