Latest: SNM Discovers Oil in KRGSHAMARAN ANNOUNCES MAJOR OIL DISCOVERY AT ATRUSH PROJECT, KURDISTAN
April 13, 2011 (SNM-TSXV)… ShaMaran Petroleum Corp. (“ShaMaran” or the “Company”) is pleased to announce a major oil discovery in the recently drilled Atrush-1 exploration well in Kurdistan.
The Atrush-1 well was spud on October 5, 2010 and successfully reached a revised total depth of 3400m on January 21, 2011 after 91 days. The well was drilled on time and within budget and encountered a 726 metre potential gross oil column in the Lower Cretaceous and Jurassic (120 metres net matrix pay* in the Jurassic). Drilling shows and log results indicate additional potential net pay zones of up to 140 meters in the Upper Butmah and Cretaceous formations. These particular zones will be further tested and evaluated in future wells.
Ten drill stem tests were conducted over horizons in the Cretaceous, Jurassic (main targets of the well) and Triassic to establish reservoir pressure gradients, fluid content and properties and reservoir deliverability. The main targets of the well were the Jurassic fractured carbonate reservoirs proven in neighbouring structures. Excellent flow rates were established totaling over 6,393 bopd from the three Jurassic horizons. The flow rate was limited by tubing sizes and testing equipment. Well analyses show that the intervals are capable of much higher rates when completed for production. The three tests in the middle and upper Jurassic reservoirs produced 26.5 API oil.
Pradeep Kabra, President and CEO of ShaMaran, commented, “We are very pleased with these excellent test results from Atrush 1. This is a major new discovery and is anticipated to become a significant producing asset for the Company upon development. We commend the operator GEP and our partner Aspect Energy on the Atrush project on their outstanding job during the drilling and testing of the well.”
The well was operated by the joint-venture company GEP which holds an 80% working interest in the Block. Aspect Holdings, LLC through its Aspect Energy International LLC subsidiary has a two thirds interest and ShaMaran, through its wholly owned subsidiary, ShaMaran Ventures BV, holds a 33.5% interest in GEP. Marathon Petroleum KDV B.V., a wholly owned subsidiary of Marathon Oil Corporation (NYSE: MRO), holds a 20% interest in the block.