Turkmenistan, Ashgabat, Jan. 22 / Trend H.Hasanov /
The company Dragon Oil (UAE), which operates under a Production Sharing Agreement (PSA) in the Turkmen sector of the Caspian Sea, increased average daily production rate 5.5% to 47,211 bpd (2009: 44,765 bpd) in 2010, the company reported.
Dragon Oil (Turkmenistan) Ltd., a wholly owned subsidiary of Dragon Oil plc, holds 100% interest in and is the operator of the Production Sharing Agreement for the Cheleken Contract Area. The operational focus is on the re-development of two oil-producing fields, Dzheitune (Lam) and Dzhygalybeg (Zhdanov). A proved and probable residual resource in the contract area is about 300 million barrels of oil and more than three trillion cubic feet of gas.
In total, Dragon Oil commissioned 11 development wells in 2010. Capital expenditure on infrastructure and drilling amounted to US$454 million for 2010 (2009: $317 million);
Dragon Oil sold 10.8 million barrels of crude oil in 2010 (2009: 10.5 million barrels). This is 3% higher than the volume sold during the previous year due to increased production and changes in lifting position.
In 2010, approximately 60% (2009: 10%) of crude oil was exported via Baku, Azerbaijan. The Group currently exports all of its entitlement barrels through Baku, Azerbaijan.
Dragon Oil continues to assess additional marketing opportunities for the supply of its oil.