Business
Re-issue of BNG Contract Area licences
Caspian Sunrise plc has announced significant tax concessions for its BNG Contract Area, including an Alternative Subsoil Use Tax and a temporary exemption from export customs duties on crude oil, necessitating the re-issue of licences for the Airshagyl and Yelemes Deep structures. The Airshagyl structure will receive a three-year appraisal licence, with a 25-year production licence requiring two further deep wells, while Yelemes Deep receives a two-year appraisal licence, requiring three deep wells to be drilled for a 25-year production licence. During these initial appraisal periods, all production must be sold domestically at domestic prices. The company has invested over $120 million in the BNG Contract Area since 2008, and between 2019 and mid-2025, produced over 4.5 million barrels of oil from shallow structures, which were sold for $88 million in July 2025. Disclaimer*
About this update from Caspian Sunrise Plc
[{"type":"text","content":"\n\nThe information contained within this announcement is deemed to constitute inside information as stipulated under the retained EU law version of the Market Abuse Regulation (EU) No. 596/2014 (the \"UK MAR\") which is part of UK law by virtue of the European Union (Withdrawal) Act 2018. The information is disclosed in accordance with the Company's obligations under Article 17 of the UK MAR. Upon the publication of this announcement, this inside information is now considered to be in the public domain.\n \nCaspian Sunrise PLC (\"Caspian Sunrise\" or the \"Group\")\n \nRe-issue of BNG Contract Area licences following significant tax concessions\n \nIntroduction\nThe Board of Caspian Sunrise is pleased to announce significant tax concessions at its flagship BNG Contract Area, necessitating the re-issue of the licences at the Airshagyl and Yelemes Deep structures.\n \nTax concessions\nThe Kazakh Ministry of Energy has confirmed significant tax concessions, to assist in the development of the BNG Contract Area's deep structures. Specifically, the Ministry of Energy has confirmed that Alternative Subsoil Use Tax will apply to production from the BNG Contract Area in lieu of Historic Cost, mineral extraction tax and excess profits tax. Furthermore, a temporary exemption from export customs duties on crude oil has been granted.\n \nRe-issue of BNG Contract Area licences\nThe tax concessions noted above require new licences to be issued. Accordingly, the Ministry for Energy has issued new licences for both the Airshagyl and Yelemes Deep structures on the following bases.\n \nAirshagyl\nA three-year appraisal licence has been issued during which the Group must submit credible plans to develop the Airshagyl structure and during which additions to state confirmed reserves on the basis of additional drilling is permitted.\n \nA requirement under the 25-year full production licence expected to be issued during the initial three-year period is for a minimum of two further deep wells on the Airshagyl structure to be drilled after the full production licence is issued.\n \nYelemes Deep\nA two-year appraisal licence has been issued during which additions to state confirmed reserves on the basis of further drilling is permitted.\n \nA requirement during t...