Zenith Energy, SOCAR in consultation for drilling exploratory well
BAKU, Azerbaijan, Dec. 12
By Leman Zeynalova - Trend:
Canada’s Zenith Energy company and Azerbaijan’s state oil company SOCAR are holding consultations to drill an exploratory well at Muradkanli-Jafarli-Zardab block of fields, Trend reports citing Zenith Energy, which is the operator for the block’s development.
“Zenith can confirm that it has initiated geological and technical investigations, with the approval and in consultation with SOCAR, for the identification of the most prospective location to drill an exploratory well within the Exploration Area of the Rehabilitation, Exploration, Development and Production Sharing Agreement (REDPSA) contract area,” said the company.
Azerbaijan’s state oil company SOCAR and Zenith Aran Oil Company signed a REDPSA in March 2016 for a block that includes the Muradkhanli, Jafarli and Zardab oil fields. Zenith Energy Ltd established its subsidiary company Zenith Aran Oil Company Ltd for production operations in these three fields. Production under the agreement began in August 2016.
Zenith holds an 80-percent participating interest in the three fields within the contract area, while SOCAR retains the remaining 20 percent. The agreement is for 25 years, with a potential extension by five additional years.
The total area of the Muradkhanli, Jafarli and Zardab fields is 642.2 square kilometers, and according to the contract, it is divided into rehabilitation and exploration territories.
The Muradkhanli-Jafarli-Zardab block is located in the Yevlakh-Agjabadi oil and gas region of Imishli district of Azerbaijan. The Muradkhanli field was discovered in 1971, Jafarli - in 1984, and Zardab - in 1981.
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