Ryder Scott re-estimated Azerbaijan's oilfield reserves

Oil&Gas Materials 12 April 2006 16:03 (UTC +04:00)

Ryder Scott, an independent oil&gas industry consulting company, has re-estimated proved and probable reserves of hydrocarbons at Southwest Gobustan onshore oilfield. Trend reports with reference to news release issued by Arawak Energy, the project shareholder, that as of December 31, 2005 proved plus probable reserves of hydrocarbons totaled 32,863 thous. boe compared to 32,485 thous. boe as of December 31, 2004.

The document states that total production of 2005 at Southwest Gobustan was 11 thous. boe.

The news release says that first commercial gas was produced from the well February 1, 2006 and close increase of production is expected upon putting in operation Duvanni-102 main production well. В"There were some problems with this well as the wellhead pressure was higher than expectedВ", - the document states. The operations also continued at Kanizadag-101 well originally drilled to 4,080 meters but later was planned to drill to 4,130 meters.

The operator of Southwest Gobustan oilfield in accordance with PSA signed with SOCAR is Gobustan operating company (GOC). Commonwealth Gobustan Limited possesses 80% share in Gobustan Operating Company, 20% belong to SOCAR. In Commonwealth Gobustan Limited 37.17% shares belong to Arawak Energy and 62.83% - to China National Petroleum Company Group.