Major oil producing area2 Oct 2020 22:16
The Resan licence is held by Aladdin Middle East Ltd, which describes itself as an independent American oil and gas exploration and production company, founded in 1961.
UKOG said the Resan licence was a “geological continuation” of the Zagros petroleum system. This is in the foothills of the Taurus-Zagros mountains of Iraq, Iran Turkey and described by UKOG as one of the Middle East’s major oil producing areas.
The company said two geological targets, the Basur oil discovery and the Resan oil pay opportunity, had potentially significant moveable oil in naturally-fractured limestones that had been overlooked by previous operators.
A report by Xodus in June 2020 estimated that the targets had 253m barrels unrisked gross mean oil in place or oil in the ground before extraction. The high case was 495m barrels.
The Basur discovery, made in 1964, produced 500 barrels of oil over a six-hour test period, UKOG said. Both Basur and Resan were geological look-alikes for Aladdin’s East Sadak field, 20km away. This had initial well rates of up to 1,300 barrels of oil per day, it said.
UKOG said a successful oil well in Resan could be put to long-term production from a flow test within months, rather than the three-five years it said was often taken in the UK.
The company described the Turkish petroleum fiscal regime as “amongst the most globally competitive”. It said Turkish law guaranteed that any domestically produced oil must be accepted by Turkish refineries and purchased at market price. Drilling costs were also lower than in the UK, it said.
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