Exploration/Development Briefs

Jan. 9, 2012

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Suriname

Kosmos Energy Ltd., Dallas, signed production sharing contracts for Blocks 42 and 45 in the Atlantic off Suriname.

The company's first exploratory acreage outside West Africa, the blocks are unexplored. Water is 650-8,500 ft deep. Block 42 covers more than 1.5 million acres and Block 45, 1.3 million acres. Kosmos will operate both with 100% working interest. The blocks lie 110-200 miles off Paramaribo.

Kosmos will shoot 3D seismic in the initial exploration phase and could start drilling as early as 2014. The exploration concept is an extension of the Upper Cretaceous stratigraphic play system that Kosmos unlocked on the West African side of the South Atlantic Transform Margin.

Tajikistan

Tethys Petroleum Ltd. has acquired 34% of the shares of Seven Stars Energy Corp. from its Tajik joint venture partner Sangam Ltd., increasing Tethys' interest in the Bokhtar production sharing contract area to 85% from 51%.

Bokhtar covers 8.7 million unexplored acres in the Afghan-Tajik basin. The block is assigned an audited, unrisked prospective resource of 7 tcf.

Tethys is shooting data with the goal of drilling the first deep presalt exploratory well at an early date.

Tethys reckons "the Afghan-Tajik basin and its extension the Amu‐Darya basin to be one of the most prolific in the world with giant and supergiant gas and condensate fields such as those in...Uzbekistan and in Turkmenistan."

Turkey

Anatolia Energy Corp., Calgary, has a 50% working interest and is joint operator with Calik Enerji Sanayive Ticaret AS on six exploration and two development licenses in southeastern Turkey.

An exploratory well is planned for late 2012-early 2013 on the 53,906-acre Besni license where it has identified four prospects in Cretaceous Mardin carbonates in a complex strike-slip structure where the reservoirs are expected to be heavily fractured.

Besni is just southwest of where Turkiye Petrolleri AO discovered Sambayat field in 2008 at a well that flowed 3,000 b/d of oil. Sambayat field has nine producing wells, and estimated ultimate recovery is 30 million bbl of oil from the Cretaceous, Calik Enerji said.

Sambayat was Turkey's largest oil discovery in 20 years, and TPAO plans to drill another exploratory well just north of the Besni license.

A 100 line-km 2D seismic survey has been shot and is being processed in an effort to further refine the images of the four prospects, Anatolia Energy said.

Saskatchewan

Sundance Energy Corp., Calgary, said it has begun completion-evaluation operations at its Ochapowace 6-5-18-3w2m test well in Southeast Saskatchewan.

The formations being completed for production testing are the Bakken, Souris Valley-Lodgepole, Watrous, and Second White Specks.

The Bakken formation is perforated and is waiting to be fraced and completed. Conventional completions will then be conducted on the Souris River-Lodgepole and the Watrous. Finally the Second White Specks will be perforated, fraced, and completed.

Sundance has drilled the Lestock 5-3-27-15w2m test well on its Muskowekwan First Nations permit and cased it to 840 m total depth.

Logs and cores indicate potential oil and gas pay zones in the Second White Specks, Souris Valley-Lodgepole, and the Nisku-Birdbear formations. Completion is expected to begin as soon as services are available.

Idaho

Bridge Resources Corp. and its joint venture partner Paramax Resources Ltd. have completed the process undertaken by Meagher Energy Advisors to review strategic options for the Bridge-Paramax JV's western Idaho assets, including the Willow-Hamilton gas development area.

Bridge and Paramax, both of Calgary, are in negotiations to finalize the definitive terms and conditions of a sale of the Willow-Hamilton development area in Payette County (OGJ Online, Mar. 21, 2011).

Separately, Bridge is in negotiations regarding a farmout of its leasehold acreage position outside of the Willow-Hamilton development area.

Utah

The US Bureau of Land Management is seeking public comments on EOG Resources Inc.'s proposal to directionally drill 11 natural gas wells from two pads 50 miles south of Vernal, Utah.

BLM's Vernal field office is preparing an environmental assessment of the proposal and will accept comments until Jan. 13, 2012, it said in a Dec. 12 notice.

The site is in 25-9s-22e, Uintah County, in the Chapita Wells unit of giant Natural Buttes gas-condensate field.

The agency said that less than 1 acre of disturbance per well pad under the proposal is expected under the proposal, and existing roads would provide access to the project area.

Existing gas lines along the access roads would be used, with any new pipelines constructed on the lease.

Additional pipeline construction, grading, and right-of-way would not be needed.

If dry, the wells would be plugged and abandoned as BLM and Utah state regulations require.

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