Canadian company takes stake in Oman tracts

Berkley Petroleum Corp., Calgary, says it has signed deals with partners for two projects in Oman in its first venture outside Canada. The company will join Phillips Petroleum and Maersk Oil Oman, of Denmark, to explore two production-sharing agreement areas in southwest Oman that cover about 2.2 million acres.

May 19th, 2000


Berkley Petroleum Corp., Calgary, says it has signed deals with partners for two projects in Oman in its first venture outside Canada.

The company will join Phillips Petroleum and Maersk Oil Oman, of Denmark, to explore two production-sharing agreement areas in southwest Oman that cover about 2.2 million acres. Phillips is the operator with a 50% interest in the blocks; Berkley and Maersk hold 25% each. Berkley said the PSAs are bounded on three sides by prolific producing trends.

In another deal, Berkley took a 25% interest in another area of Oman covering about 90,000 sq km. Phillips holds the rest, as operator.

The Canadian company says it plans to spend about $15 million (Can.) in Oman over the next 2 years. The first well will be spudded in July.

Berkley said the existing scope of presently identified leads and prospects has been postulated at 3-4 billion bbl of recoverable oil in the two areas. It has access to 10,000 km of seismic data, and more than 20 undrilled prospects have been identified.

Berkley is best-known for successful gas exploration plays with Chevron Canada Ltd. in the Liard River region of Canada�s Northwest Territories. It recently announced a new venture with Chevron in that area.

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