WesternZagros Resources today announced an update of the Company's ongoing exploration and appraisal program, and a substantially revised Prospective Resource Assessment of the Eocene reservoir for Kurdamir.
The Eocene reservoir is the second of the three targeted reservoirs in the Kurdamir-2 well (currently drilling). The revised assessment is based upon the Kurdamir-2 well encountering an interpreted oil bearing, fractured Eocene reservoir section with a gross thickness of 275 metres.
The revised resource estimate is confirmed in an independent audit carried out by Sproule International Limited ("Sproule").
- The Company reported a substantial increase in the mean estimate of gross unrisked prospective resources ("Mean Prospective Resources") in the Eocene reservoir at Kurdamir. The revised Mean Prospective Resource is now 278 MMbbl of oil as of June 1, 2012 compared to 124 MMbbl reported previously.
- The Kurdamir-2 well is currently drilling ahead at 3,427 metres. The 9-5/8 inch casing was cemented successfully at 3,140 metres. Wireline logs were successfully run across the Eocene interval for the first time, as this was not possible in the Kurdamir-1 well. The analysis of the wireline logs has resulted in the Company substantially increasing its Eocene prospective resource assessment.
- After eight months on extended well test, Sarqala-1 has produced approximately one million barrels ("MMbbl") of light oil.
Simon Hatfield (pictured), WesternZagros's Chief Executive Officer, commented:
"The petroleum potential of our exploration blocks, which has always been highly promising, continues to exceed our expectations particularly at Kurdamir. Doubling our resource estimates in the Eocene reservoir, after tripling our estimates in the first reservoir target, the Oligocene, bodes well for the potential in the third reservoir target in the Cretaceous still ahead of us."