Operational Update

RNS Number : 3398S

Caspian Sunrise plc

01 October 2017

 

Caspian Sunrise PLC ("Caspian Sunrise" or the "Company")

formerly Roxi Petroleum Plc

BNG Operational Update

Introduction

Caspian Sunrise PLC (formerly Roxi Petroleum plc) ("Caspian Sunrise"), the Central Asian oil and gas company, with a focus on Kazakhstan, is pleased to update the market with news from its BNG Contract Area.

Background

Caspian Sunrise has a 99% interest in the BNG Contract Area, which is located in the west of Kazakhstan 40 kilometers southeast of Tengiz on the edge of the Mangistau Oblast.

In July 2018 we have the opportunity at BNG, subject to regulatory approval, to move from an appraisal licence, where oil produced must be sold at domestic prices - currently some $16-19 per barrel - to a production licence, where the majority of oil produced may be sold at world prices.

Shallow wells

MJF structure

Shallow Well 146

Caspian Sunrise is pleased to announce that Well 146 was spudded towards the end of September and has reached a depth of 300 meters without incident.

Well 146 is targeting the same Jurassic Callovian sands at a depth of 2,200 meters with a secondary objective in the Cretaceous Valinginian limestone at a depth of 1,900 meters as the already successful MJF wells 141, 142, 143, 144 & 145.

The costs of the well are expected to be approximately $1.5 million and we expect to reach the total depth of 2,500 meters in November 2017. The well is situated some 1.2 kilometres from Well 143 and our hope is for a similar outcome as that encountered to date at Shallow Well 145.

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Deep Well A5

Background

Deep Well A5 was the first of the deep wells to be drilled. We have previously announced the potential oil bearing interval extends to approximately 100 meters. The well has produced for a few hours at the rate of 2,000 bopd but has not yet flowed sufficiently for a prolonged well test.

Extreme high pressure and temperature resulted in a difficult drilling phase, which led to the initial decision to test the well on an open-hole basis. However, for some time, we have believed a side-track from a depth of 4,082 meters to a planned depth of 4,450 meters would be the best way forward.

Status

Drilling the sidetrack is progressing without incident and to date has reached a depth of 4,331 meters, leaving only a further 90 meters to drill until we reach the bottom of the interval of interest. Gases, including butane have been encountered, which can typically be indicators of oil.

We look forward to updating the market further on the progress of this well in due course.

Clive Carver, Executive Chairman, Caspian Sunrise comments:

Drilling at BNG at both our shallow and deep prospects remains on track. The work to move the rig from 145 to 146 went as planned allowing an on schedule spudding of Shallow Well 146.

At Deep Well A5 we are entering what we hope is the final phase of drilling before we reach our goal. To date all the indicators are positive.

Ends

Caspian Sunrise PLC
Clive Carver Executive Chairman	[phone]
WH Ireland, Nominated Adviser & Broker
James Joyce James Bavister	[phone]

Yellow Jersey PR                                                                             [phone]    

Tim Thompson

Qualified Person

Mr. Nurlybek Ospanov, Caspian Sunrise PLC's Chief Geologist / Technical Director who is a member of the Society of Petroleum Engineers ("SPE"), has reviewed and approved the technical disclosures in this announcement.

This announcement has been posted to:

www.caspiansunrise.com/investors

The information contained within this announcement is deemed by the Company to constitute inside information under the Market Abuse Regulation (EU) No. 596/2014.

 

END

 

 

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