Operational Update

RNS Number : 9622G

Genel Energy PLC

05 July 2012

 



Genel Energy plc

5 July 2012

Genel Energy plc

Operational Update

Genel Energy plc ("Genel Energy") notes that DNO International ASA ("DNO"), as operator of the Tawke license in the Kurdistan Region of Iraq, has today issued a press release containing the following information:

"DNO has completed testing of the Peshkabir-1 well and is preparing to submit a discovery notice pursuant to the terms of the production sharing contract covering the Tawke license.

Drilled to a total depth of 4,092 meters, the deepest yet for the Company in Iraq, the well targeted a large undrilled feature west of the currently producing Tawke field. Oil shows were encountered in the Cretaceous, Jurassic and Triassic intervals and six zones were tested. The Jurassic Sargelu formation tested 27-29 API oil and water at varying rates of oil and water cut. The Triassic Kura Chine A and B intervals and the Cretaceous Mushora, Quamchuqa and Shiranish intervals produced formation water.

The joint venture will now undertake detailed evaluation of the results of the well; a proposal to acquire approximately 200 square kilometres of 3-D seismic has already been submitted and approved by the authorities. The Peshkabir-1 well will be temporarily suspended for possible re-entry later this year.

The Tawke-18 well, spud on 28 May, is drilling ahead at 1,462 meters, about halfway to the planned total depth of 3,085 meters. The well is designed for additional Cretaceous production towards the target 100,000 barrels per day year end Tawke field deliverability. The well will also test an exploration target below the main field bounding fault.

In parallel with its stepped up operational activities in the Kurdistan Region of Iraq, the Company continues to ramp up production and sales of oil to the local market."

For further information, please contact:

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

[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 independent 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 Tawke Field, DNO holds a 55% operated working interest and the Kurdistan Regional Government holds the remaining 20% interest.

 

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