Mike Buck, new CEO of the only AIM-listed Mongolian oil explorer, Petro Matad, told London South East four wells are to be drilled in a 2018 work programme.
In a bullish interview he explained that the Mongolian geology was good, but that 'new country risk' was holding back investment. Petro Matad, backed by major shareholder Petrovis, the largest importer and distributor of fuel in Mongolia, are to drill 4 wells in 2018. 2 are in the East, close to PetroChina's proven prospects which have delivered oil for decades. These have a 50% or more chance of success.
Petro Matad are looking to 'do a service-sharing agreement' with PetroChina' and 'get a slot on a drilling rig to dig our prospects.' Contemporaneously they are looking to drill two wells to the West in what Mike describes as 'high impact Frontier exploration' where 'the economics of success are spectacularly good for a company of our size.'