Tag Archive | "Oryx Petroleum"

Oryx Petroleum Updates on Demir Dagh


Oryx Petroleum Corporation has announced an update regarding development, production and sales for the Demir Dagh field in the Kurdistan Region of Iraq (“KRI”).

Highlights:

The Demir Dagh-7 well will be tied into the Demir Dagh production facilities in the coming weeks, taking total Demir Dagh gross (100%) productive capacity to more than 15,000 bbl/d by the end of 2014; the Demir Dagh-3 well will be tied into production facilities in early 2015 with the Demir Dagh-8 through 11 wells to potentially follow subject to successful drilling and testing

Drilling of the Demir Dagh-9 well has recently been completed reaching total measured depth of 2,100 metres; Testing is expected to be completed before year end 2014

Drilling of the Demir Dagh-10 well has been completed; the Demir Dagh-11 well has been spudded and both wells are to be tested upon completion of the Demir Dagh-11 well in late 2014/early 2015

The Group and its partners are in advanced stages of discussions with the Ministry of Natural Resources of the KRI regarding the field development plan for the Hawler license area and are close to agreement on a plan that emphasises rapid production growth

Works to directly tie into the KRI–Turkey pipeline are on track with completion expected in early 2015

Trial deliveries to the Ministry of Natural Resources of the KRI have commenced by truck from Demir Dagh to the Khurmala entry point of the KRI-Turkey pipeline

Gross (100%) production of oil averaged 4,400 bbl/d for the month of October 2014 and the highest daily production achieved was just under 7,000 bbl/d. Since late October, as a result of local market dynamics, there have been no local sales and production at the Demir Dagh field has been shut-in for most of this period

Commenting today, Oryx Petroleum´s Chief Executive Officer, Michael Ebsary (pictured), stated:

“The excellent progress with our development drilling and facilities construction at the Demir Dagh field continues and we remain on track to have the productive capacity to meet expectations for 2014 and 2015.

“Meanwhile, the market for crude oil produced in the Kurdistan Region of Iraq is evolving rapidly. Recent progress in discussions between the governments in Baghdad and Erbil with regards to exporting crude oil from the Kurdistan Region is very encouraging.

“Such progress has many positive implications for sales of crude oil produced in the Kurdistan Region to both export and domestic markets as well as for the fiscal stability and security of the Kurdistan Region.”

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Oryx Updates on Demir Dagh


By John Lee.

Oryx Petroleum has announced an appraisal drilling update for the Demir Dagh field in the Hawler license area in the Kurdistan Region of Iraq, including test results for the Demir Dagh-7 and Demir Dagh-8 appraisal wells (“DD-7” and “DD-8”, respectively).

Oryx Petroleum is the operator and has a 65% participating and working interest in the Hawler license area.

Highlights:

Demir Dagh-7 Test Results

  • Testing of an interval in the Shiranish and Kometan formations in the Cretaceous reservoir
  • Achieved a maximum sustained natural flow rate of approximately 3,300 bbls/d of oil over a period of 6 hours restricted by a 48/64” choke
  • Demonstrated high productivity comparable to the Demir Dagh-2 (“DD-2”) well with expected production rate to exceed 5,000 bbls/d once the well is completed with an electrical submersible pump (“ESP”)
  • Encountered similar crude qualities as tested in other wells in the Cretaceous reservoir in the Demir Dagh field (20 to 22° API)

Demir Dagh-8 Test Results

  • Observations and data collected during drilling were similar to the DD-7 well but mechanical failure in isolating the perforation interval resulted in an unsuccessful test
  • A short sidetrack well is planned to be drilled and the Cretaceous reservoir re-tested in late Q4 2014 or early 2015

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Petrel Resources Updates on Prospects


By John Lee.

As part of its Interim Statement, Petrel Resources has given the following update on its Iraq operations:

The political uncertainty and civil strife in the Middle East makes it difficult to be optimistic about our activities in Iraq. But progress has been made. A new government has been formed. The Minister of Oil has been quoted as being in favour of more regional autonomy for the provinces.

“Our partners, the Amira Group and Oryx, are awaiting approvals from the governor of the Wasit Province to undertake seismic followed by drilling. The prospects in Wasit are extremely good. Petrel has a 5% fully carried interest through exploration.

“On spudding of an exploration well a tranche of shares in Petrel will be issued to the Amira Group. If a commercial discovery is made a further tranche of shares will be issued.

(Source: Petrel Resources)

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Oryx Resumes Kurdistan Operations


By John Lee.

Oryx Petroleum has announced an update for its operations in the Hawler license area of the Kurdistan Region of Iraq.

Commenting today, Oryx Petroleum´s Chief Executive Officer, Michael Ebsary (pictured), stated:

“We are very pleased that tangible improvements to the security environment in the Kurdistan Region have enabled us to resume all activities at our core asset, the Demir Dagh field. The resumption of production at higher levels after only a short interruption is very positive and, while the interruption will result in delays in our development schedule, we hope to minimise those and continue our rapid ramp-up in production.

“Appraisal activities at our Ain Al Safra and Banan discoveries remain suspended pending further improvement in the security environment in the westernmost portions of the Hawler license area. Preparations for drilling at Zey Gawra continue but timing of actual drilling is not yet certain.

“We are encouraged by the response of the Kurdistan Region and Iraq authorities, together with the support of the international community, to the conflict in northern Iraq. We continue to closely monitor the situation in close co-ordination with authorities in the Kurdistan Region and continue to take measures needed to ensure the safety of our personnel and operations.”

Demir Dagh

Oryx Petroleum recently resumed crude oil production and sales into the domestic market at the Demir Dagh field in the Hawler license area at rates in excess of those prior to the temporary halt in August. Production and sales have averaged approximately 4,300 barrels per day over the past 10 days with daily volumes achieved in recent days of over 5,000 barrels. Payments for sales have also resumed.

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Oryx and Others Remove Staff from Iraq


By Patrick M Schmidt.

As the United States begun strikes against Islamic State of Iraq and the Levant (ISIL) militants, Canadian oil firm, Oryx, began evacuations of staff from their facilities in the Kurdistan region.

The company announced that portion of its Demir Dagh oil field had been shut down. Drilling and other operations continued at reduced levels by contract staff. The field produces approximately 3,000 to 4,000 barrels of oil per day.

Operations at Ain Al Safra and Banan oilfields have been completely suspended until further notice.

Other firms evacuated staff from the region including Chevron Corporation and Exxon Mobil.

(Source: Reuters)

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Teeling Updates on Petrel Resources


By John Lee.

As part of his statement to the AGM of Petrel Resources, Executive Chairman John Teeling made the following comment on the company’s operations in Iraq:

Petrel has a 5% full free carry on the interests held by Oryx in the Wasit province of Iraq.

“This is held via a 20% shareholding in Amira, which was farmed out to Oryx, a listed Canadian company whose principals have been successful in Kurdistan.

“The Wasit province is stable but no exploration is being conducted at present.”

The company’s shares have more than halved since February.

(Source: Petrel Resources, Yahoo!)

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Oryx Petroleum “Largely Unaffected” by Unrest


By John Lee.

Oryx Petroleum Corporation announced a production and drilling update on Monday for the Demir Dagh field in the Hawler license area in the Kurdistan Region of Iraq, including test results for the Demir Dagh-6 appraisal well (“DD-6”).

Oryx Petroleum is the operator and has a 65% participating and working interest in the Hawler license area.

Highlights:

  • Gross (100%) production at the Demir Dagh field is currently approximately 4,000 bbl/d
    • Liftings/sales and payments are proceeding in accordance with the agreement with a third party marketer
  • Two cased-hole drill stem tests (“DSTs”) were successfully conducted at DD-6 in the Cretaceous reservoirs
    • Maximum sustained natural flow rate of approximately 700 bbl/d of oil using a 16/64” choke
    • The well demonstrated high productivity but natural gas encountered at the top of the perforation constrained use of choke sizes and flow rates
    • Similar crude qualities were encountered as tested in the Cretaceous reservoirs at other Demir Dagh wells
  • 2014 Demir Dagh Appraisal and Development
    • Demir Dagh-7 well (“DD-7”) is to be spudded in the coming weeks and is expected to reach a total depth in Q3 2014
    • Three additional development wells are to be drilled in 2014 as deviated wells to Lower Cretaceous reservoirs
    • Preparation work for the acquisition of 440 square kilometres of 3D seismic data over the Demir Dagh, Banan and Zey Gawra discoveries commenced in June 2014
  • Operations remain largely unaffected by the security situation in northern Iraq (outside of the Kurdistan Region)

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Oryx Petroleum First Sales from Demir Dagh


By John Lee.

Oryx Petroleum Corporation Limited has announced that it has sold its first offtakes of crude oil into the domestic market from the Demir Dagh field in the Hawler license area in the Kurdistan Region of Iraq.

Oryx Petroleum is the operator and has a 65 percent participating and working interest in the Hawler license area.

Commenting today, Michael Ebsary (pictured), Oryx Petroleum’s Chief Executive Officer, stated:

“We are delighted to announce that we have completed our first sales from the Demir Dagh field. This is a critical milestone in Oryx Petroleum’s evolution to becoming a full-cycle exploration, development and production company. We now look forward to increasing production, revenue and cash flow as we continue to develop Demir Dagh and our other Kurdistan discoveries.”

The Corporation recorded its first lifting of crude oil on Friday June 20 from the Demir Dagh field. Through June 22, 2014 the Corporation has recorded liftings totaling approximately 3,300 barrels of crude oil. The liftings are pursuant to a short term agreement to sell crude oil to a third party marketer designated by the Ministry of Natural Resources (“MNR”) of the Kurdistan Regional Government.

The Demir Dagh crude oil has been sold at a price of just under $60 per barrel (as determined by the MNR) reflecting local market pricing dynamics and the medium sweet quality of the crude oil.

In accordance with the crude sales agreement, Oryx Petroleum is paid in advance on a regular basis throughout the term of the agreement for scheduled liftings. Liftings are continuing and are scheduled to ramp-up over the term of the agreement. The Corporation expects that the agreement will be renewed at the end of its term, consistent with domestic sales practices in the Kurdistan Region of Iraq.

(Source: Oryx)

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