LONDON (Alliance News) - Roxi Petroleum PLC Wednesday said it has asked Gaffney, Cline & Associates to conduct further evaluation work on its flagship BNG asset is Kazakhstan after the company completed further work on the project.
Gaffney, Cline & Associates was first formally appointed to undertake an independent audit of the prospects identified by the company on the asset back in January 2011, which identified 34 prospects in the BNG area, with best estimate prospective resources varying from 1.0 to 82.0 million barrels and chance of success varying from 7% to 85%.
Roxi aggregated those best estimates to provide a combined, unrisked, gross resource potential of 900 million barrels. However, since those estimates made since 2011, Roxi has completed further work on the asset that now needs to be evaluated.
"The appointment of Gaffney, Cline & Associates to revisit their estimates based on the company's drilling activities since 2011 is another step on the path to demonstrating the potential of the field. We look forward with interest to the output of their work," said Chairman Clive Carver.
Gaffney, Cline & Associates will start by evaluating the area at the asset where shallow drilling was conducted. That area has currently demonstrated a production capacity under test conditions at a running rate of 1,065 barrels of oil per day, of which 622 barrels are net to Roxi.
The evaluation of that area by Gaffney, Cline & Associates is expected to be completed in the second quarter of 2016.
Gaffney, Cline & Associates will then evaluate the well tests in Deep Wells A5, 801 and when completed, the A6 deep well.
Roxi shares were trading flat on Wednesday morning at 7.75 pence per share.
By Joshua Warner; joshuawarner@alliancenews.com; @JoshAlliance
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