Monday, Apr 30, 2012
LONDON (Dow Jones)--Gulf Keystone Petroleum Ltd (GKP.LN), said Monday that operations are progressing across the four blocks in the Kurdistan Region of Iraq, adding that stable output from the Shaikan extended well test has surpassed the company's initial target of 5,000 barrels of oil per day.
MAIN FACTS:
-Stable output from the Shaikan extended well test has company's initial target and is set to increase with work underway to upgrade the existing EWT facility and design and construct a new facility for Shaikan-2.
-A long-anticipated second exploration well on the Sheikh Adi block will spud in June, when results of the Ber Bahr-1 testing program are also expected.
-Following the conclusion of the successful Shaikan-4 well testing program, the appraisal well, drilled 6km to the west of the Shaikan-1 discovery well, will be completed as a producer and tied to the Shaikan-1 and Shaikan-3 Extended Well Test facility.
-The Discoverer-4 rig has been released and will move from the Shaikan-4 location to the drilling location of the Sheikh Adi-2 exploration well.
-The Shaikan-5 appraisal well, drilled 6km to the north-east of the Shaikan-2 appraisal well, has been sidetracked (Shaikan-5B) and casing has been set at the depth below 3,400 meters in the Kurre Chine-B formation in the Triassic.
-Preliminary well logs indicate a continuous oil column in the Jurassic and hydrocarbon presence in the Triassic Kurre Chine-A and Kurre Chine-B, which is consistent with results obtained elsewhere in the field, most recently with the Shaikan-4 appraisal well.
-The well will continue drilling to the estimated total depth of 3,750 meters, subject to technical conditions.
-Gulf Keystone shares closed Friday at 227 pence, valuing the company at GBP1.99 billion.
-By Razak Musah Baba, Dow Jones Newswires; 44-20-7842-9275; razak.baba@dowjones.com
(END) Dow Jones Newswires
30-04-12 0642GMT
