TCF

CBM Asia Development Corp. ("CBM Asia" or the "Company") (TSX
VENTURE:TCF)(OTCBB:CBMDF)(FRANKFURT:IY2) announces plans for the Kutai West PSC
development.


CBM Asia's primary goal for 2014 is to commercialize the Kutai West Production
Sharing Contract (PSC) in East Kalimantan, Indonesia, located near the Bontang
LNG export facility. Achieving early-stage commercial production will help
unlock the value of this asset, which is situated close to high-priced Asian gas
markets.


705 Bcf Near Bontang LNG Facility. CBM Asia holds an 18% working interest in the
Kutai West PSC, representing 705 Bcf of recoverable prospective resources net to
CBM Asia from the total 3.9 Tcf estimated by an independent audit conducted in
2013 by Netherland, Sewell & Associates, Inc.(1) Kutai West is regarded as one
of the best and commercially most advanced of the more than 50 awarded CBM
blocks in Indonesia.


Kutai West is adjacent to the Sanga-Sanga PSC, where VICO (BP and partners) is
commercially producing and selling CBM for power generation and gas to the
nearby Bontang LNG facility. As VICO notes: "This is the first time in Indonesia
that any CBM facilities have produced and sold gas and represents a major
milestone in the exploration of CBM potential."


Kutai West will produce from the same coal seams as at Sanga-Sanga. To date, the
Company and its partners have drilled four CBM test wells on the block,
verifying thick coal seams (average 105 ft) with high gas content (average 300
ft3/ton; dry, ash-free basis) and gas saturation (close to 100%), as well as
5-mD permeability. The KWCBM-01 well is currently being dewatered, venting
produced gas from the flare stack, which is a key first step towards larger
scale production.


Management's main focus this year is to initiate commercial gas production at
Kutai West with a 5-well pilot, followed by a larger commercial scale 25-well
development (total 30 wells). To this end we have reached consensus with our
partners to sell the produced gas to locally installed gas engine power
generation units selling power into the PLN grid and later to feed gas into the
gas-short Bontang LNG export network. Anticipated gas prices are USD8/Mcf or
higher. Bontang exports LNG to Japan and other Asian rim importers, which are
critically short of natural gas.


Phase 1: Under Phase 1 four new CBM wells will be drilled near the existing
KW-CBM01, forming an effective dewatering pilot on tight 40-acre spacing to
accelerate gas production and demonstrate commerciality. Produced gas estimated
at 2.0-2.5 MMcfd (gross) would be sold to a power station developer/operator and
PLN for on-site power generation at about US$8/Mcf. The government of Indonesia
strongly supports such commercialization prior to formal Plan of Development
(POD) approval. Total capex for Phase 1 is estimated at US$7.16 million,
comprising four wells at US$1.46 million/well cost (drilling & completion, water
management, and surface facilities) plus US$1.32 million in engineering and
overhead costs. An additional $200,000 would be required for field operating
expenses during the first year. CBM Asia's share of the Phase 1 costs is
estimated at US$2.15 million.


The 10-MW power station would employ an array of 1- to 5-MW reciprocating
engines; hundreds of such installations already are in operation throughout
Indonesia. The power station would be independently owned and operated, with no
capital required from CBM Asia. Drilling and completing the wells would require
about two months, plus an additional four months to install and commission the
power plant. An updated engineering audit would be conducted to certify proved
and probable reserves, with an excellent chance of qualifying the project for
low-cost Phase 2 project financing.


Phase 2: Following success in Phase 1 and the approval of the Phase 2 POD, CBM
Asia and its partners would utilize two rigs to drill an additional 25 wells (30
total) over a 7-month period. The increased production initially would supply
the power station. Pending successful conclusion of a sales agreement, a
12-inch, 20-km pipeline would be constructed to the Badak compressor station by
a third party under BOO basis and funded via an estimated $0.50/Mcf transport
tariff. Total capex for phase 2 is estimated at US$36.3 million with CBM Asia's
share of costs estimated at US$8.0 million. Production estimated at 12.5 MMcfd
(gross) would be sold into the Bontang LNG export network at approximately
US$8/Mcf or more. Note that Bontang is the world's second largest LNG plant
(22.5 mtpa), shipping primarily to Japan, but local conventional gas supplies
are in decline and the facility is currently operating at less than 60% of
capacity.


"The Kutai West and Sekayu PSC's both have substantial engineered resources for
commercialization, but Kutai West is most viable for near-term commercial
development" noted President and CEO Charles Bloomquist. "We are focusing our
efforts on achieving commercial production and gas sales at the block as soon as
possible, likely before the end of 2014. We estimate that with completion of the
Phase 2 development CBM Asia will be operational cash flow positive. Jointly
with its partners the Company has developed a technical plan and budget for the
Kutai West commercial development and will post details in a new presentation on
its website in the coming days."


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 holds various participating interests in five production
sharing contracts (each a "PSC") for CBM in Indonesia. Indonesia has one of the
largest CBM resources in the world with a potential 453 trillion feet3 in-place,
more than double the country's natural gas reserves (Stevens and Hadiyanto,
2004). Since 2008 a total of 54 CBM PSCs have been granted by the Government of
Indonesia, representing exploration commitments of well 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, Medco, Santos, and TOTAL.
BP, ENI, and the Indonesian government have confirmed that commercial CBM
production started in March 2011 from the Sanga-Sanga PSC and is being exported
from the Bontang LNG facility. The Company trades on the TSX Venture Exchange
under the symbol "TCF". www.cbmasia.ca




(1) NI 51-101 compliant resource audit conducted by NSAI                    



ON BEHALF OF CBM ASIA DEVELOPMENT CORP. 

Scott H. Stevens, Chairman

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.


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. The economics
of exploring, developing and operating resource properties are affected by many
factors including, but not limited to, the cost of exploration and development
operations, conclusions of economic evaluations, unexpected formations or
pressures, premature declines in reserves, potential environmental damage,
blow-outs, fires, variations in the amount and saturation of CBM contained in
individual coal seams and the rate of production therefrom, fluctuations in gas
prices and the availability of capital. There are no assurances that the
Company's work programs will result in the discovery of commercially viable or
economically producible properties or that the Company will be successful in
completing the Offering in whole or in part. Gas in place estimates referred to
in this news release are not NI 51-101 compliant and do not represent
"discovered petroleum initially-in-place" within the meaning of the Canadian Oil
& Gas Evaluation Handbook (COGE Handbook). The term "discovered petroleum
initially-in-place" is equivalent to discovered resources, and is defined in the
COGE Handbook to mean that quantity of petroleum that is estimated, as of a
given date, to be contained in known accumulations prior to production. There
are no assurances that any portion of the estimated gas in place resources
referred to herein will be discovered. Furthermore, such estimates make no
allowance for the recovery of the gas which will depend on, among other things,
the reservoir characteristics encountered and future economic conditions. All of
the forward-looking statements made in this news release are qualified by these
cautionary statements and those made in our Canadian continuous disclosure
filings available on SEDAR at www.sedar.com including our December 31, 2012 year
end annual MD&A dated April 24, 2013 and June 30, 2013 interim MD&A dated August
20, 2013. 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, REQUIRED BY APPLICABLE CANADIAN LAWS, IS NOT FOR DISTRIBUTION
TO U.S. NEWS SERVICES OR FOR DISSEMINATION IN THE UNITED STATES, AND DOES NOT
CONSTITUTE AN OFFER TO SELL SECURITIES AND THE COMPANY IS NOT SOLICITING AN
OFFER TO BUY THE SECURITIES DESCRIBED HEREIN. THESE SECURITIES HAVE NOT BEEN
REGISTERED UNDER THE UNITED STATES SECURITIES ACT OF 1933, AS AMENDED, OR ANY
STATE SECURITIES LAWS, AND MAY NOT BE OFFERED OR SOLD IN THE UNITED STATES OR TO
U.S. PERSONS UNLESS REGISTERED OR EXEMPT THEREFROM.


FOR FURTHER INFORMATION PLEASE CONTACT: 
CBM Asia Development Corp.,
Charles Bloomquist
604.684.2340
TF.866.504.4755
604.684.2474 (FAX)
corpcom@cbmasia.ca
www.cbmasia.ca


Investor Relations Contact
Micro Cap et al
1 877 642 7622
info@microcapetal.com

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