Spudding of Shaikan-5 Appraisal Well

RNS Number : 1067R

Gulf Keystone Petroleum Ltd.

31 October 2011

 



Not for release, publication or distribution in or into the United States or jurisdictions other than the United Kingdom and Bermuda where to do so would constitute a contravention of the relevant laws of such jurisdiction.

31 October 2011

Gulf Keystone Petroleum Ltd. (AIM: GKP)

("Gulf Keystone" or "the Company")

Kurdistan Operational Update

Spudding of Shaikan-5 Appraisal Well

Gulf Keystone is pleased to announce that the Shaikan-5 appraisal well has spudded on the Shaikan block in the Kurdistan Region of Iraq on 28^th October 2011. 

Shaikan-5 is the third deep appraisal well to be drilled on the Company's major oil discovery with independently audited gross oil-in-place volumes of between 4.9 billion barrels and 10.8 billion barrels calculated on the P90 to P10 basis with a mean value of 7.5 billion barrels.

Shaikan-5 is being drilled 6 km to the north-east of the Shaikan-2 appraisal well. The well will target prospective intervals in the Jurassic and Triassic to reach the planned total depth of approximately 3,500 metres.

Gulf Keystone is the Operator of the Shaikan block with a working interest of 75 per cent and is partnered with Kalegran Ltd. (a 100 per cent subsidiary of MOL Hungarian Oil and Gas Plc.) and Texas Keystone Inc., which have working interests of 20 per cent and 5 per cent respectively.

 John Gerstenlauer, Gulf Keystone's Chief Operating Officer commented:

"We are very pleased with the progress of our drilling operations in the Kurdistan Region of Iraq. Shaikan-5 is the ninth well to be drilled across the Company's four adjacent blocks in the space of 30 months. Six out of these nine wells have been drilled on the Shaikan and Sheikh Adi blocks which Gulf Keystone operates. With two discoveries on the Shaikan and Akri-Bijeel blocks under our belt, we eagerly anticipate further results from the Sheikh Adi block with estimated resources of 1 (P90) to 3 (P10) billion barrels of gross oil-in-place. The second exploration well on the Sheikh Adi block will spud in early 2012, when results are also expected from the first exploration well recently spudded on the Ber Bahr block. The spudding of the Shaikan-5 well is in line with Gulf Keystone's stated strategy to realise the full potential of the giant Shaikan field, to prove up our existing discoveries and to drill new ones in the Kurdistan Region of Iraq".

Enquiries:

Gulf Keystone Petroleum:	[phone]
Todd Kozel, Executive Chairman and Chief Executive Officer
Ewen Ainsworth, Finance Director
Strand Hanson Limited	[phone]
Simon Raggett / Rory Murphy / James Harris
Mirabaud Securities LLP	[phone]
Peter Krens
Pelham Bell Pottinger	[phone]
Mark Antelme

or visit: www.gulfkeystone.com

John Gerstenlauer, the Company's Chief Operating Officer, who has 31 years of relevant experience within the sector and meets the criteria of a qualified person under the AIM note for mining, oil and gas companies, has reviewed and approved the technical information contained in this announcement.  Mr. Gerstenlauer is a member of the Society of Petroleum Engineers.

Notes to Editors:

§ Gulf Keystone Petroleum Ltd. (AIM: GKP) is an independent oil and gas exploration and production company focused on exploration in the Kurdistan Region of Iraq.

§ Gulf Keystone Petroleum International (GKPI) holds Production Sharing Contracts for four exploration blocks in Kurdistan.

§ The Company's shares have traded on the AIM market of the London Stock Exchange since listing on 8^th September 2004.

§ Gulf Keystone Petroleum Limited is registered in Hamilton, Bermuda with further offices in Erbil, Kurdistan (Iraq), Algiers, Algeria and London, UK.

Not for release, publication or distribution, directly or indirectly, in or into the United States or jurisdictions other than the United Kingdom and Bermuda where to do so would constitute a contravention of the relevant laws of such jurisdiction. This document (and the information contained herein) does not contain or constitute an offer of securities for sale, or solicitation of an offer to purchase securities, in the United States or jurisdictions other than the United Kingdom and Bermuda where to do so would constitute a contravention of the relevant laws of such jurisdiction. The securities referred to herein have not been and will not be registered under the US Securities Act of 1933, as amended (the "Securities Act"), and may not be offered or sold in the United States unless the securities are registered under the Securities Act, or an exemption from the registration requirements of the Securities Act is available. No public offering of the securities will be made in the United States.

 

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