Roxi provides operational update

Roxi, the Central Asian oil and gas company with a focus on Kazakhstan, is pleased to further update the market with news of the deep discovery at its flagship BNG asset plus updates for the shallow wells at BNG and the Deep Well NK-31 at Galaz.

Background

The BNG Contract Area is located in the west of Kazakhstan 40 km southeast of Tengiz on the edge of the Mangistau Oblast, covering an area of 1561 km² of which 1376 km² has 3D seismic coverage acquired in 2009 and 2010.

Roxi has a 58.41% interest in the BNG Contract Area.

Deep Well A5

On 1 September 2014, Roxi announced the thickness of the gross oil-bearing interval commencing at 4332 m was at least 105 m, between 4332 m and 4437 m.

Roxi is pleased to announce that the preparation work for the all important flow test continues as planned. Well stimulation work has been completed during which oil flowed, showing the reservoir is oil bearing with dissolved gas. The pressures encountered meant the periods during which the oil flowed were short and not sufficient to obtain reliable measurement as to quantity.

The oil recovered is good quality light oil, brown in colour with a blue hue and has no hydrogen sulfide content.  A full analysis of the oil will be available following lab test after the 30-day testing period.

Once the drilling fluids used have been fully cleaned out from the well and, if required, new equipment has been installed further pressure tests will be conducted to assess the integrity of the casing. We will then commence the 30 day flow test.

BNG shallow wells

Our approach to the South Yelemes portion of the BNG Contract Area has been to drill several wells to prove the size of the area over which oil discovered in the Valanginian extends.  Wells 54, 805, 806 and 807 all drilled to depths between 2500 and 3000 m have all produced oil from the Valanginian and Jurassic and are considered by Roxi to be commercial.

Well 143, which was drilled to a Total Depth of 2750 m in 2013, is located some 5 km from Well 806.

The interval in the Valanginian section between 1943 and 1950 m have tested for water with oil sheen.

We are now preparing to test from lower intervals, the Jurassic section, between 2704 and 2710 m and now additionally beween 2692 and 2694 m.

We will update the market once the tests are concluded

Galaz

Roxi is also pleased to provide an update to progress at Well NK-31 on its Galaz Contract Area.

Background

The Galaz block is located in the Kyzylorda Oblast in central Kazakhstan. The Contract Area was extended on 10 January 2011 to 179 square kilometres and now includes significant exploration upside on the east side of the Karatau fault system, as well as the NW Konys development.

The operator is LGI, the Korean multi-national, which invested US$ 34.4 million by way of loans into the project and paid a further US$ 15.6 million in return for 40% of the asset. A total of 30 km2 3D seismic has been acquired and processed.

Roxi has a 34.44% interest in the Galaz Contract Area.

Well NK-31

Well NK-31, which is targeting the Middle Jurassic on the main Contract Area, has been drilled to a total depth of 2642 m with casing set to its full length.

As previously announced core samples taken between 2070 and 2079 m in the Karagansaisky horizon contain an interlayering of argillite and conglomerates. 

Also as previously announced high gas shows were detected when drilling at the depth of 2283 m (Doshan Suite). Core samples were taken between 2283 and 2292 m and preliminary, analysis showed the core consists of sandstones.

Four intervals in the Doshan suite have now been tested and no oil was detected.  The interval between 2107 and 2110 m has also tested dry. The next interval to be tested will be between 2066 and 2080 m in the Karagansay suite and we will provide a further update once the results of these tests are known.

Comment

Clive Carver, Chairman commented: "The preliminary view at our deep well A5 is that the reservoir is oil bearing and the quality of the oil is good.  The next step remains to assess how much recoverable oil we have."

Adapted from a press release by David Bizley

Read the article online at: https://www.oilfieldtechnology.com/drilling-and-production/15102014/roxi-provides-operational-update/