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Exploratory Drilling by SOCAR Exceeds 5,000m

Oil&Gas Materials 15 July 2008 14:00 (UTC +04:00)

Azerbaijan, Baku 14 July / Trend / In 2007 the Geophysics and Geology Department of the State Oil Company of Azerbaijan (SOCAR) carried out 3D seismic to the extent of overall 217.3 km2 (3D seismic in 104.9 km2 and 2D in 301.1 inline km according to order of "Azneft" PU, 3D seismic work in 112.44

km2 under the orders of foreign companies ("Gobustan" Opera ting Company), the company said in its report on 2007.

2D seismic work was done in 916 inline km ( 301.1 inline km at the order of "Azneft" PU, and 2D

seismic prospecting work in 614.9 inline km (" Kura Valley" and "Garasu" Operating Companies). Micro-seismic logging work carried out in 114 wells in 2007.

Survey has been performed in Muradkhanly, Jafarly and Bayimdagh-Tekchay (Caspian-Guba) areas of Yevlakh-Aghjabedy valley on sites of "Azneft" PU and in Kanizedagh, Eastern Duvanny and

Gobustan areas for "Gobustan" Operating Company on foreign companies and in Great

Haramy, Little Haramy, Injabel, Padar and Kelameddin areas for " Kura Valley" and "Garasu"

Operating Companies.

As a result of borehole geophysics/survey conducted in 2007, there implemented perforation

work in total 240 estimated formations that 196 positive-going formations produced oil, 43 negative-going (below zero) formations produced water and 1 undeterminable-based formation produced oil.

In 2007 the company carried out drilling work ranging to 230,349 m, including 772 m exploration drilling, 4,429 m development drilling, 12,058 m structural mapping and sample boring, 3,089,92 m detail-geological drilling (including 1,379 m oversea).

Drilling work was carried out in the Bulla-Deniz, Goshadash-Agburun areas.

Last year the Integrated geological prospecting and topography Department realized

detail-geological drilling work to the extent of 196 m in Russian sector of Caspian Sea, but 1,320

m in Turkmenistan sector of the Caspian Sea as under the contracts signed with Morincgeologiya

JSC.

Exploration prospecting work was done in offshore area - Western Absheron and Pirallahy

fields of Absheron archipelago and in onshore area - Jahandar area of Kura and Gabirri interfluve, Hovsan-Turkan geological basin of Absheron peninsula.

Exploratory drilling works accomplished to the extent of 5,142 m against the assigned task of 4,650 m, 4 wells launched with drilling, 2 wells completed with drilling and 3 wells completed with construction. As a result of such works, there obtained an increase in oil reserves as 0.661 mln tons, in gas reserves as 6.117 bln. м3 and in condensate reserves as 0.605 mln tons (151.3 %).

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