4 October 2017
Petro Matad Limited
("Petro Matad" or the "Company")
Petro Matad, the AIM quoted Mongolian oil explorer is pleased to provide an operational update.
Seismic Acquisition Campaign
· Letter of Intent signed with BGP Inc. (a division of China National Petroleum Company) ("BGP") to begin a comprehensive 3D seismic programme encompassing 218km2
· Programme will include an additional 2D seismic survey focused on adjacent leads and in a new basin with the expectation of adding further drillable prospects to the Company's growing exploration portfolio
The Company is pleased to announce it has signed a Letter of Intent with BGP Inc. (a division of China National Petroleum Company) to begin a comprehensive 3D seismic programme in the Tugrug Basin of Block V, to include additional 2D seismic focused on adjacent leads of the Tugrug Basin and a new basin in Block IV, with the expectation of adding further drillable prospects to the Company's growing exploration portfolio.
The planned 218km2 3D survey will focus on defining and de-risking near term drilling targets within the Tugrug Basin which could contain over 3 billion barrels of oil in place* and additional potential within stratigraphic traps. The Tugrug Basin has a proven working petroleum system confirmed with a stratigraphic core hole drilled by the Company in 2011 near the basin margin. The core-hole contained live, un-biodegraded oil in good quality sandstone reservoirs.
The 3D survey will cover the key prospects and leads which are part of the primary structural play fairway within the basin, identified on existing 2D seismic data. The survey is also expected to image a major stratigraphic play fairway, which has been proven in prolific petroleum producing plays in Africa, India and the Falkland Islands, to name a few. In addition, 150km of new 2D seismic data are also planned in the Tugrug Basin to better define other leads and prospects.
In addition, 204km of new 2D data is planned over the Khangai Basin in the northern part of Block IV. This survey aims to better define some attractive leads identified on regional 2D seismic gravity and magnetic surveys acquired in 2015.
BGP has initiated their mobilization process and expect to begin their work on our blocks in late October 2017. The Company has successfully worked with BGP in the past and expects the results of this current work programme to advance farmout discussions currently taking place.
* Company in-house estimates of undiscovered petroleum resources initially in place
-Ends -
Technical information in this news release has been reviewed by the Company's Senior Petroleum Geology Advisor, Mr. Andrew Barnwell, who is the Petroleum Geologist & Director at Barnwell Parker Geoscience Ltd. He has 30 years of experience in oil and gas exploration and holds a M.Sc./DIC in Petroleum Geology from Imperial College, London. Mr Barnwell is a member of the Petroleum Exploration Society Great Britain.
For more information, please contact:
Petro Matad Limited |
|
Ridvan Karpuz, CEO |
+97 670 141 099 / +97 675 751 099 |
NOMAD and Broker Stockdale Securities Limited |
|
Richard Johnson / Elhanan Lee |
+44 (0)20 7601 6100 |
Business Advisory Firm
FTI Consulting
Edward Westropp +44 (0)20 3727 1521
About Petro Matad
Petro Matad is the parent company of a group focussed on oil exploration, as well as future development and production in Mongolia. At the current time, Petro Matad holds the sole operatorship of three Production Sharing Contracts with the Government of Mongolia. Block XX has an area of 10,340 km² in the far eastern part of the country, and Blocks IV and V have an area of 28,900 km2 and 21,100 km2, respectively, in the southwest part of the country.
Petro Matad Limited is incorporated in the Isle of Man under company number 1483V. Its registered office is at Victory House, Prospect Hill, Douglas, Isle of Man, IM1 1EQ.
