Business
Operational & Corporate Update
Operational & Corporate Update.
About this update from Caspian Sunrise Plc
[{"type":"text","content":"\n \nRNS Number : 3983D Caspian Sunrise plc 31 January 2018 \n\n \nCaspian Sunrise PLC\n(\"Caspian Sunrise\" or the \"Company\")\n \nOperational update, potential acquisition & board changes\n \nOperational update\n \nThe cold weather experienced in the second half of December 2017, has for the most part continued into January 2018. In these conditions complex activities are not either possible or not advisable to attempt.\n \nAccordingly, much of the work planned at our deep wells, including the work to allow the resumption of the 90-day flow test at Deep Well A5, has not yet been undertaken. Once conditions improve the work will resume and we will update the market with progress.\n \n3ABest\n \nCaspian Sunrise is pleased to announce its intention to acquire 100% of the shares of 3ABest, that owns a 1,347 sq km Contract Area located close to the Caspian port city of Aktau in the Mangystau Province of Kazakhstan.\n \nThe site located and is adjacent to and runs under the commercially successful Dunga field, which was discovered in 1966 and developed by Maersk Oil.\n \nBased on an assessment of the geology Caspian Sunrise's technical team believe some of the geological characteristic of the Dunga Contract Area are also present at 3ABest, additionally they believe the area 2,500 meters and below the Dunga Contract area, which forms part of the 3ABest Contract Area, also indicates the likely presence of oil.\n \n490 sq km of 3D seismic has been shot. 1,327 linear km of 2D has been digitised and reprocessed.\n \nTwo wells have been drilled on the Contract Area in recent years, both encountering water and signs of oil & gas, although neither was commercially successful.\n \nCaspian Sunrise would, by completing the acquisition of 3ABest, become responsible for the outstanding work programme commitment represented by the drilling of one well to a depth of 3,000 meters at an estimated cost of up to $2 million.\n \nThe indicated purchase price is $24 million would be satisfied by the issue of approximately 148 million new Caspian Shares at the proposed price of 12p per share.\n \n3ABest is owned by members of the existing concert party, including the CompanyÕs CEO Kuat Oraziman and the CFO Kairat Satylganov. The purchase of 3ABest is subject to further du...