Last checked at 14 Jul 2010 07:00
| For immediate release | 14 July 2010 |
Roxi Petroleum plc ("Roxi" or "the Company")
Ravninnoe and BNG Operations update
Roxi Petroleum plc, the Central Asian oil and gas company with a focus on Kazakhstan, announces the following operations update:
Ravninnoe Well 20
On 31 May 2010, well 20 (drilled during November and December 2009) was put onto 90 day production test. Following injectivity tests in June, an acid squeeze across the open perforations was performed, to stimulate the dolomitic section between 3258m and 3288m depth. Despite the acid being successfully pumped, no clear improvement has been observed from production testing to date with rates of approximately 120 barrels of oil per day being produced. Testing will continue through to the end of July, and Ravninnoe Oil LLP has applied to the Kazakh Ministry of Oil and Gas to put the well onto continuous production and further evaluate the reserves on the Ravninnoe field. While the Company understands that the results from the acidisation do not preclude further stimulation or enhancement efforts, it believes that the new data acquired and the results of the well 20 test, indicate that further reserves potential on the Ravninnoe field will be linked to the identification of new reservoirs, resulting from our better understanding of the palaeo-geographic and structural model.
BNG
Well 806
Well 806, on the South Yelemes structure, is due to spud within the next two weeks. This appraisal well is targeted to encounter Jurassic hydrocarbon bearing sands at approximately 2200 metres depth. It will also core and evaluate a secondary objective in the Lower Cretaceous dolomites. As a result of the information received from well 805 and the resultant re-evaluation of the structure, the bottom hole location of well 806 will be deviated to test the South Yelemes structure at the optimum location.
Well 805
Well 805 testing is scheduled to commence in the second half of July 2010, with a work-over rig currently being mobilised. Two intervals will be tested, the Jurassic sands, and Lower Cretaceous dolomites. Further announcements on wells 805 and 806 will be made in due course.
3D Seismic
BNG is in the middle of a rolling 3D seismic campaign over the BNG contract area. In 2009 approximately 34% of the prospective acreage within the block was covered when the "Yelemes and Ayrshagyl Survey" was shot in the north. The prospect portfolio covering the northern area is currently being audited by RPS in conjunction with our partners in BNG, Canamens Energy Ltd, and information will be released to the market at the earliest opportunity.
Currently a further 46% is being acquired with the "Central Survey". The field acquisition is scheduled to be complete by the end of July 2010 and should be processed by the end of October. The remaining 20% of the acreage will be covered by 3D seismic by the "South Saztobe Survey" in 2011.
David Wilkes, CEO, commented:
"Whilst Well 20 on Ravninnoe has proved to be challenging, we will continue to assess the potential of this field and address how best to unlock its reserves. In the meantime, we look forward to getting the appraisal results on South Yelemes this summer, and then moving ahead, identifying the resource potential in BNG."
Qualified Person
Duncan McDougall, consultant to Roxi Petroleum and a Fellow of the Geological Society, London, has reviewed and approved the technical disclosures in this announcement. He holds a BSc in Geology and has 26 years international experience of exploration, appraisal, and development of oilfields in a variety of environments
Enquiries
Roxi Petroleum plc
David Wilkes CEO +7 727 244 0920
Matrix Corporate Capital LLP (NOMAD and broker)
Alastair Stratton / Anu Tayal +44 203 206 7000
Buchanan Communications (Financial PR)
Tim Thompson / Ben Romney / Chris McMahon +44 207 466 5000