Embracing change: the IFC is promoting cleaner-burning coalbed methane as an energy source in China
IFC funds China CBM player
The Washington-based International Finance Corporation (IFC) said today it was investing $15 million in US company Far East Energy, which is developing coalbed methane (CBM) exploration and development through a partnership with a state-owned Chinese company.
The IFC is a private arm of the World Bank that promotes development in emerging-market economies. It is interested in investing in cleaner-burning methane from coal deposits in China to help reduce the country’s reliance on coal as an energy source.
While CBM has already been developed for use in North America, it is largely untapped in Asia.
Far East Energy will use the IFC funds to further exploration and development of 5000 square kilometres of coal deposits in Shanxi and Yunnan provinces in central and south-eastern China, Reuters reported.
The IFC said Far East Energy was recognised as an expert in CBM, but that existing technology in the field would have to be tailored to the specific geological conditions of the Chinese deposits.