Last checked at 11 Jan 2018 07:00
11 January 2018
Petro Matad Limited
("Petro Matad" or the "Company")
Seismic Acquisition Update
Further to the Company's announcement on 4 October 2017, Petro Matad, the AIM quoted Mongolian oil explorer is pleased to provide an update on its 3D seismic acquisition programme.
The planned 3D survey, which focused on defining and de-risking near term drilling targets within the Tugrug Basin has been completed. All the Company's technical objectives were met during the 3D acquisition and preliminary processing (in field) has confirmed excellent data quality. The full 3D dataset has now been transmitted to the processing contractor, Western Geco and full Pre-Stack Time Migration (PSTM) and Pre-Stack Depth Migration (PSDM) processing is underway. Expected turnaround time will be mid Q1 2018 for final PSTM data and end Q1 2018 for full PSDM data.
The Tugrug Basin has a proven working petroleum system which was confirmed with a stratigraphic core hole drilled by the Company in 2011 near the basin margin. The core hole contained live, un-biodegraded oil in good quality sandstone reservoir. The newly acquired 3D data will enable the Company to optimise the drilling location in the Falcon prospect, a target for the 2018 drilling programme.
The Company had initially planned to proceed with a small 2D seismic acquisition programme in the Tugrug Basin following the completion of the 3D survey. However, as this 2D programme was designed to identify additional prospects and leads for potential drilling beyond 2018, and therefore does not impact the choice of locations for the 2018 drilling programme, the Company has decided to not acquire the Tugrug Basin 2D seismic at this time. A factor in this decision is that the Mongolian winter has been harsh and there are only a few grazing lands still accessible to livestock, one of which is in the area where the Tugrug Basin 2D survey was planned. Herders and their livestock have therefore entered the area in large numbers. The Company therefore felt it prudent to postpone the 2017/18 Block V 2D seismic programme.
The seismic crew has mobilised to Block IV and has commenced the planned 204 km 2D seismic acquisition programme over the Khangai Basin in the northern part of Block IV, which is anticipated to complete by early February 2018. This survey aims to better define, for potential drilling in future, certain attractive leads identified on regional 2D seismic, gravity and magnetic surveys acquired in 2015.
Further details on the Company's work programme plans in 2018 and 2019 will be announced in due course.
This announcement contains inside information for the purposes of Article 7 of EU Regulation 596/2014.
For more information, please contact:
Petro Matad Limited | |
Mike Buck, CEO | +97 670 141 099 / +97 675 751 099 |
NOMAD and Broker Stockdale Securities Limited | |
Richard Johnson / El Hanan Lee | +44 (0)20 7601 6100 |
Business Advisory Firm
FTI Consulting
Edward Westropp +44 (0)20 3727 1521
About Petro Matad
Petro Matad is the parent company of a group focussed on oil exploration, as well as future development and production in Mongolia. At the current time, Petro Matad holds the sole operatorship of three Production Sharing Contracts with the Government of Mongolia. Block XX has an area of 10,340 km² in the far eastern part of the country, and Blocks IV and V have an area of 28,900 km2 and 21,100 km2, respectively, in the southwest part of the country.
Petro Matad Limited is incorporated in the Isle of Man under company number 1483V. Its registered office is at Victory House, Prospect Hill, Douglas, Isle of Man, IM1 1EQ.