Salyan Oil Limited (SOL) operating company determined in its technical committee meeting a business schedule of work to be done at Kursangi-Garabaghly contract area in 2006. The State Oil Company of Azerbaijan (SOCAR), a part to the project, said that the company is expected to spud next year 7 exploitation and one exploration wells on the field.
“This is not an obligatory PSA with the SOCAR. The shareholders of the project themselves took a resolution on the necessity of additional exploration drilling along with the two in 2005,” the SOCAR said.
According to official of the SOCAR, the budget of operations in 2006 will be approximately equal to $50m. The average depth of the exploitation wells is some 3500 meters, exploration вЂ" 4300-4500 meters.
A meeting of the SOL shareholders will be held in Baku on 9 December 2005, the same source said.
The geological reserves of Kursangi-Garabaghly comprise 100 million tons of oil, while the oil extraction co-efficiency is some 0.2-0.3. The potential recoverable resources of the bloc constitute 25 million tons of crude. So far the field has been developed by 20%.