Kurdistan Rig Contract Awarde

RNS Number : 4983Z

Sterling Energy PLC

23 September 2009

 



23rd September 2009

STERLING ENERGY PLC

('Sterling' or the 'Company')

Kurdistan Rig Contract Awarded

Sterling (symbol: SEY), an AIM listed independent oil & gas exploration and production company with interests in the USA, Africa and the Middle East, is pleased to provide the following update on its operations in Kurdistan.

In the Sterling operated Sangaw North block (53.33% WI) preparations are continuing for the drilling of the first exploration well on the licence, Sangaw North-1. The surface well location, total drilling depth of 3,660m (with an option to drill to 4,160m) and rig contract have all been approved by both the Kurdish Regional Government and the joint venture partners. The rig contract has been awarded to Sakson Egypt and the well is planned to spud in late 4Q 2009. 

An independent review of the Sangaw North prospect undertaken by RISC (UK) Ltd estimates the unrisked prospective resources for the Cretaceous reservoir interval (at a depth of 1,700-2,900m) are 804 mmbbls (gross), with a chance of success of 27 percent.  RISC (UK) Ltd considers that condensate and gas are as likely to be discovered in Sangaw North as oil.  Additional potential is also present in the deeper Jurassic and Triassic intervals. Historical success rates for recent exploration wells drilled in the Kurdistan region are around 50%.

Enquiries

   Sterling Energy Plc ([phone]) Web site: www.sterlingenergyplc.com 

Alastair Beardsall, Chairman

Graeme Thomson, CEO

Evolution Securities ([phone])

Rob Collins 

Chris Sim

Citigate Dewe Rogerson ([phone])

Martin Jackson

George Cazenove

In accordance with the guidelines of the AIM Market of the London Stock Exchange, Andrew Grosse, B.Sc (Hons) Geology & Geophysics (1980), Exploration & Technical Director of Sterling Energy Plc, who has been involved in the oil industry for over 28 years, is the qualified person that has reviewed the technical information contained in this press release.

 

END

 

 

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