Petro Matad Limited
("Petro
Matad" or the "Company")
Spud of Gobi Bear-1 exploration
well
LONDON, 23 September 2024:
Petro Matad Limited (AIM: MATD), the AIM quoted
Mongolian oil company, is pleased to announce that on 21 September
it spudded the Gobi Bear-1 exploration well in the
Tamsag Basin of eastern Mongolia. The well
is being drilled by DQE International rig #30609 and is located c.
12km southwest of the Heron-1 oil discovery well in the Block XX
Exploitation Area.
Gobi Bear-1 is targeting reservoir
quality sandstones in the Cretaceous Lower Tsagaantsav Formation
which is the main producing horizon in the Tamsag Basin and which
was proven to be oil bearing in Petro Matad's nearby Heron-1 and
Gazelle-1 wells. Based on seismic interpretation, the primary
reservoir target in Gobi Bear-1 is anticipated to be reached at a
depth of c. 1,400m within a combination structural/stratigraphic
trap at the southern end of the proven prolific Toson Uul sub-basin
in which c. 2 billion barrels of oil in place have been discovered
in the last 20 years. The Gobi Bear prospect is estimated to have mean oil in-place potential of
307 million barrels and the well is planned
to drill to a total depth (TD) of c. 1,800 metres. The well is
expected to take c. 20 days to drill to TD following which wireline logging will be conducted to
determine if it merits testing. In the event of encouragement, well
testing will be performed using the same contractor engaged for the
operations planned at the nearby Heron-2 well.
Mike Buck, CEO of Petro Matad,
said:
"Gobi Bear-1 is an important well within Block
XX. The prospect has significant resource potential which can be
rapidly exploited in the event of success as it is located within
an already approved Exploitation Licence Area.
The well cost is estimated to be $1.5 million,
making this a very high impact/very low cost, near-field
exploration well. It also has the potential to de-risk other
prospects and leads identified within Block XX.
Gobi Bear-1 will also provide important
geological information on the characteristics of the Lower Tsagaantsav Formation reservoir where petrophysical
parameters may be improved at the relatively shallow depths of
burial that are prognosed."
Further updates will be provided as
the 2024 work programme progresses.
- Ends -
Further
information please contact:
|
Petro Matad
Limited
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Mike Buck, CEO
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+976 7014 1099 / +976 7575 1099
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|
Shore Capital
(Nominated Adviser and Broker)
|
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Toby Gibbs
Rachel Goldstein
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+44 (0) 20 7408 4090
|
|
Zeus (Joint
Broker)
Simon Johnson
Louisa Waddell
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+44 (0) 20 3829 5000
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FTI Consulting
(Communications Advisory Firm)
|
|
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Ben Brewerton
Christopher Laing
Catrin Trudgill
|
+44 (0) 20 3727 1000
|
Technical information in this news
release has been reviewed by the Company's Technical Manager, Mr.
Jerry Smart. He has over 40 years of industry experience in oil and
gas exploration and production with LASMO, Eni, Salamander Energy
and Ophir Energy. He holds a B.Sc. in Geology from King's College,
London.
About Petro Matad
Petro Matad is the parent company of
a group focused on oil exploration, as well as future development
and production in Mongolia. Currently, Petro Matad holds 100%
working interest and the operatorship of the Matad Block XX
Production Sharing Contract with the government of Mongolia. Block
XX has an area of 214 square kilometres in the far eastern 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.