Update21 Oct 2010 08:28
Konya Block 4077 Gas Development Project Update
Niche, the AIM listed investment company with interests in gas exploration and development activities onshore Turkey, is pleased to provide a further update arising from its strategic investments in Oman Resources Ltd ("OR"). The investments, which will see Niche own 18.7% of OR on conversion, have enabled OR to complete its payment obligations to Arar Petrol ve Gaz AUPAS ("Arar") and its partner under Phase 1 of a farm-in agreement which provides OR with an option to acquire a 50% interest in exploration licence AR/ARR/4077 ("4077 Block"), an area of 49,821 hectares in the Tuz Golu basin in south central Turkey, containing a potentially large onshore gas field.
The Gulhanim-2 ("G-2") re-entry rig has passed the 700 metres depth, and is drilling progressively to a potential pay zone at a target depth of 2,000 to 2,100 metres. G-2 is currently expected to reach this depth at the end of November.
The final stages of mobilisation are underway, within Turkey, of the workover rig and logging equipment that will be used to start workover operations at Karapinar-1, following release of the equipment from its prior obligation. The workover operations will re-enter the well through the wellbore of the previously completed well. The objectives of the workover operations on the Karapinar-1 well are testing and data gathering on a specific reservoir, particularly gas flow rates, pressure and pay productivity - all important information required for subsequent reservoir management and gas production operations.
Additionally, seismic processing of 2D seismic data recently acquired over the southern portion of Block 4077 continues in Ankara and Houston.
Donal Boylan, Director of Niche, commented,
"Niche welcomes the news that the investments to date in Block 4077 have resulted in tangible progress in the agreed well operations programme. We look forward to reporting further progress as appropriate."
Sign In
Follow the stocks
