Business
Entry into Turkish oil project
Entry into Turkish oil project.
About this update from Uk Oil & Gas Plc
[{"type":"text","content":"\n \n \n RNS Number : 8205T\n UK Oil & Gas PLC\n 23 July 2020\n \n \n \n \n UK Oil & Gas PLC\n \n \n (\"UKOG\" or the \"Company\")\n \n \n \n \n \n Entry into potential high-impact Turkish oil appraisal and exploration project\n \n \n \n \n \n UK Oil & Gas PLC (London AIM: UKOG) is pleased to announce that it has signed a binding heads of agreement with Aladdin Middle East Ltd (\"AME\"), an independent oil company with 60 years of operational experience in Turkey, to take a 50% non-operated working interest in the 305 km² Resan Licence (\"Licence\"). UKOG will take an active technical role in a 5-well oil appraisal and step-out exploration drilling programme, which, Covid and weather permitting, is expected to commence this year. \n \n \n \n \n \n The Licence lies within the SE Anatolian basin, a geological continuation of the prolific Zagros \"fold-belt\"\n \n petroleum system within the foothills of the Taurus-Zagros mountains in Iraq, Iran and Turkey, one of the Middle East's major oil producing areas. Multiple producing oil fields lie to the immediate west and south east of the Licence, containing significant proven recoverable reserves.\n \n \n \n \n \n \n Material discovered resource potential\n \n \n \n \n \n A June 2020 report prepared by Xodus Group Ltd (\"Xodus\")\n for AME calculates that two identified geological targets within the Licence's Cretaceous Mardin limestones, the undeveloped Basur oil discovery and the Resan \"missed\" oil payopportunity contain an aggregate unrisked gross mean oil in place, or oil in the ground before extraction (\"OIP\"), of approximately 253 million barrels (\"mmbbl\"), with a significant high case (P10) gross aggregate OIP of 495 mmbbl. \n \n \n \n \n \n The Company's and AME's evaluations of the available 1950s and 1960s well and geological data conclude that potentially significant moveable oil within the naturally fractured Mardin has been overlooked by prior operators in both Basur and Resan (i.e. missed oil pay). \n \n \n \n \n \n An undrilled exploration target in the shallower Garzan limestones, Prospect A, adds further unrisked upside OIP potential of between 68-112 mmbbl in the mean and high case (P10), respectively.\n \n \n \n \n \n Note that UKOG's internal evaluation sees further upside resource potential th...