Business
New Production Sharing Contra
New Production Sharing Contra.
About this update from Petro Matad Limited
[{"type":"text","content":"\n RNS Number : 3450V Petro Matad Limited 08 July 2009 \n\nPetro Matad Limited\n (\"Petro Matad\" or the \"Company\")\n\nAward of New Production Sharing Contracts \n\nCentral Asian Petroleum Corporation Limited (\"Capcorp\") has been awarded two new Production Sharing Contracts (\"PSC\") by the Petroleum Authority of Mongolia (\"PAM\"). Capcorp is a group company of Petro Matad, the quoted parent company of a group focussed on oil exploration as well as future development and production in Mongolia. Capcorp together with Mongolian company Petro Matad LLC joined the Petro Matad group in 2007 prior to the Company's admission to AIM.\n\nThe PSCs are for two petroleum blocks in the southern, central part of Mongolia, approximately 500kms south west of the capital Ulaanbaatar. The petroleum blocks Bogd Block IV (\"Block IV\") and Ongi Block V (\"Block V\") adjoin each other and jointly cover an area of approximately 71,000 km² (approximately 27,400 square miles).\n\nThe signing ceremony took place earlier today in Ulaanbaatar, Mongolia. The Chairman of the PAM, Mr D. Amarsaikhan signed on behalf of the Government and Executive Director Ms Amarzul Tuul signed on behalf of Capcorp.\n\nPetro Matad's CEO, Douglas McGay, said: \n\n\"These new areas add a further dimension to our Company's portfolio of opportunities. We now have a portfolio of projects at different stages of development, ranging from the advanced exploration results and drilling plans for the Davsan Tolgoi Prospect; through to the advanced exploration on other leads and prospects nearby on Block XX; onto the identified but largely unexplored grabens on Block XX and now the promising new blocks in the centre of Mongolia.\n\n\"Whilst management's main focus will be on drilling activities in Block XX we will be undertaking a work programme on Blocks IV and V in the next two years that will consist of a review of information followed by seismic acquisition and interpretation.\n\n\"The granting of these two important and large areas is another significant stage in the development of both Petro Matad and for the development of oil exploration in Mongolia. The Government of Mongolia is to be congratulated in its efforts to attract investment into the exploration of its petroleum resour...