Drilling Update - Miran West-3 well

RNS Number : 6729A

Genel Energy PLC

03 April 2012

 



Genel Energy plc

3 April 2012

Genel Energy plc

Drilling Update - Miran West-3 well

Genel Energy plc ("Genel Energy") notes that Heritage Oil Plc ("Heritage"), as operator of the Miran Block in the Kurdistan Region of Iraq, has today issued the following press release:

"Highlights

·     Testing of a reservoir interval above the main Jurassic reservoir resulted in a flow of up to 17.5 MMscf/d of dry gas

·     Reservoir interval tested is separate from the underlying main Jurassic gas bearing reservoir tested in the Miran West-2 well

·     Following the test, drilling continues to the main Jurassic targets

The Miran West-3 well is currently at a depth of 3,060 metres and testing operations of a high pressure reservoir interval encountered above the main Jurassic reservoir have completed. This gas bearing interval is proven to be a separate reservoir from those identified to date within the Miran structure. Technical work is being undertaken to understand further the distribution of this reservoir interval using existing well data and recently processed 3D seismic.

Following testing, drilling has recommenced in order to appraise the main Jurassic reservoir intervals which are the primary targets of this well. Further tests are planned and drilling is expected to be completed within the next month."

Tony Hayward, chief executive of Genel Energy said:

"We are pleased to note that the testing of a reservoir interval above the above the main Jurassic reservoir at the Miran West-3 well has resulted in the discovery of flowed gas. Drilling to the main Jurassic target has resumed and will be accompanied by a comprehensive tests programme, with completion expected within the next month. This should provide a better estimate of the potential recoverable gas reserves and assist us with our development planning."

For further information, please contact:

Genel Energy Julian Metherell, Chief Financial Officer Natalie Fortescue, Investor Relations

[phone]

RLM Finsbury Ed Simpkins Jenny Davey

[phone]

Notes to editors:

Genel Energy is an independent oil and gas exploration and production company listed on the main market of the London Stock Exchange (LSE: GENL). The company, with headquarters in London and additional offices in Ankara and Erbil, is the largest oil producer and the largest holder of reserves in the Kurdistan Region of Iraq. For further information, please refer to www.genelenergy.com

Genel Energy holds a 25% interest in the Miran Block and Heritage Oil Plc holds the remaining 75%, although there are third party back-in rights. The Miran Block has an area of 1,015 square kilometres and is located west of the city of Suleimaniah. The Miran Block contains two large structures, Miran West and Miran East.

 

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