Friday 5 March 2010

Dea Han Operations Update on Galaz Block

Dae Han New Pharm, one of the shareholders in Baverstock, which in turn is one of the major shareholders in Roxi Petroleum plc (AIM:RXP) has released what appears to be an operational update about the NK22 well near the NW Konys field on the Galaz block. ( https://www.dhnp.co.kr/news/notice_read.asp?page=1&id=85&pos=85 ).

In a separate release, it appears that Dae Han have also acquired a 6.79% interest in Galaz, although it is unclear whether this is part of the deal that Roxi Petroleum announced on 11 February.


The operations update release is written in Korean, but a Google Translate version is shown below - apologies in advance.  It is well worth visiting the link above, as it shows some interesting pictures of operations on Galaz.

The main thrust of the release seems to confirm the Roxi Petroleum release on 18 February, but also seems to add that they expect the reserves in Galaz to increase as a result of the success at NK22, and that the oil discovered is of high quality.

"West Oslo Koh Block (galrajeu) Genetic Development Status

Our Disclosure of four Roxy sign oil development operations (February 18, 2010) According to the NK22 by drilling wells up to 2,840 m depth, 12.8 meters of crude oil stratum was found hayeotdago. In addition, the oil will be a quality player. After the current drilling operation, the casing (push an iron bar) is working.

The Kazakh government based on the current 7.3 million barrels C1 Pilot Production Project (pilot commercial production) requesting approval to place the results in light of the end of the state, and 4 will be released.

The Kazakh government for East oil reserves is about 1,600 million barrels (C1 + C2) and, NK22 wells has been found in the oil reserves will further increase is expected.

East Block of the pilot wells and preparation is already completed state. In each of the wells to separate oil and water separator, oil storage tanks, used for winter heating, an underground gas flare emissions, and the pipe is installed.

As shown in the picture below NK3, 4, 5 wells have enough pressure in the ground naturally without any special equipment to the oil wells that are leaking. The high pressure gas NK5 Yoo Eun lot is equipped with two flares. NK26 oil production wells and for the smooth bimpeompeu (Beam Pump) and currently are installing, NK27 wells are already installed on the pump.

Overall, the Kazakh government approved the commercial production from the pilot and they have prepared for the students to the mountain is the state. The NK22 is confirmed reserves of oil wells demonstrate the commercial production of existing wells Request (NK3, 4, 5, 6, 26, 27) is added to re-apply to the government plans to pilot commercial production. Nice nose northwest of the former Soviet Union during the photosphere such materials and modern exploration technology based on analyzing data to reduce risk, increase reserves and production is moving continuously ryangeun.

Roxi Petroleum Galaz NK22 drilling rig

Roxi Petroleum Galaz Well NK3

Roxi Petroleum Galaz Well NK4

Roxi Petroleum Galaz Well NK5

Roxi Petroleum Galaz Well NK6

Roxi Petroleum Galaz Well NK26

Roxi Petroleum Galaz Well NK27

Roxi Petroleum Galaz Camp