LONDON (Alliance News) - Frontera Resources Corp on Monday said its subsidiary has agreed to co-operate with General Electric Co's Baker Hughes Services LLC with regards to Frontera's block 12 asset in Georgia.
The Europe-focused oil & gas exploration company said it will collaborate with Baker Hughes to improve efficiency of operations, enhance service capacity and capabilities, and commence in-field drilling and intervention campaign to increase production and recovery of resources in the Taribani, Mtsarekhevi and Mirzaani fields.
For this purpose, Baker Hughes will provide equipment and products, technical services, project management and other related services.
During phase I drilling, candidate wells at Taribani will be chosen to work on field programme with the aim to increase oil production. During phase II, both companies will work on Taribani field development project and during Phase III, the parties will work on future projects that includes Baker Hughes solutions and expertise with regards to the natural gas monetisation.
The partnership will remain in force and effective until September 26 next year and may be terminated by either side giving 30 days' notice.
"I am excited to report that the memorandum of understanding with Baker Hughes has been signed," said Frontera Resources President & Chief Executive Zaza Mamulaishvili.
"This cooperation will deliver the best of Baker Hughes' expertise, knowledge, know-how and services that will be applied towards increase of production and development of our oil and gas fields in the Taribani, Mtsarekhevi and Mirzaani areas of block 12," added Mamulaishvili.
Frontera Resources shares were trading down 1.2% on Monday at 0.42 pence each.
