REG - Roxi Petroleum Plc - Operational Update <Origin Href="QuoteRef">RXP.L</Origin>

Caspian SunriseAnnouncement

15/12/2014 11:28

RNS Number : 7615Z
Roxi Petroleum Plc
15 December 2014
Roxi Petroleum PLC
("Roxi" or the "Company")
Operational Update
Roxi, the Central Asian oil and gas company with a focus on Kazakhstan, is pleased to further update the market with news of progress at its BNG asset.
BNG
Background
The BNG Contract Area is located in the west of Kazakhstan 40 kilometers southeast of Tengiz on the edge of the Mangistau Oblast, covering an area of 1,561 square kilometers of which 1,376 square kilometers has 3D seismic coverage acquired in 2009 and 2010.
Roxi has a 58.41 per cent interest in the BNG Contract Area.
Deep Well 801
Roxi is pleased to confirm that Deep Well 801 has been spudded as planned.
The well is to be drilled to a total depth of 4,700 meters targeting the Lower Carboniferous. The well is expected to reach Total Depth by mid April 2015. The well is being drilled on a turnkey basis by Sinopec, the Chinese multinational, at a fixed cost of $11 million.
Deep Well 801 is located approximately 8 kilometres from Deep Well A5 and will be targeting the same structure as Deep Well A5 in the Lower Carboniferous.
Deep Well A5
Well Status update
As previously announced the well was drilled to a total depth of 4,442 meters. Casing was set to a depth of 4,077 meters and the core sampling revealed the existence of a gross oil-bearing interval of at least 105 meters from 4,332 meters to at least 4,437 meters.
Also as previously announced due to the high pressure in the well, the coil tubing equipment has become stuck at a depth of 2,996 meters. This has delayed the commencement of the 30-day flow test.
Current position
Work continues to remove the excess drilling fluids and stuck core-tubing equipment. Encouragingly, despite the blocked well,oil continues to flow to the surface under its own pressure.
It remains the position that we expect to defer commencement of the 30-day well test until February 2015.
Comment:
Clive Carver, Chairman said
"It is always exciting to spud a new well, particularly a deep well. We look forward to working with Sinopec on this drill.
As regards Deep Well A5 our plan is to work in a cost effective manner using the simpler and cheaper techniques available to us to clean up the well for testing rather than moving directly to the more expensive and time-consuming procedures. We will continue to update the market with progress as it occurs."
Enquiries:
Roxi Petroleum PLC  Clive Carver, Chairman
+7 727 375 0202
WH Ireland Ltd James Joyce / James Bavister
+44 (0) 207 220 1666
Qualified Person
Mr. Nurlybek Ospanov, Roxi's senior geologist who is a member of the Society of Petroleum Engineers ("SPE"), has reviewed and approved the technical disclosures in this announcement.

This information is provided by RNS
The company news service from the London Stock Exchange
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