Kyrgyzstan – Explorations
Our client is seeking a global energy company with a strong technical and management team, along with sufficient resources to capitalize this potentially very large opportunity.
The client has 9,900km2 of high potential exploration average, with very attractive fiscal terms. They have an in-country office and established infrastructure.
Production from in-country fields in the adjacent Fergana Basin exceeds 12B bbls oil and 5.5Tcf gas, since 1902. Much of this production was by the national oil company, Kygyzneftegas, from shallow biodegraded reservoirs. Several large structural leads have been identified.
Fiscally, the country has an attractive regime with low (10%) tax, 5.3% royalties, US$2.00/bbl excise, low work commitments, long tenure and a free market economy. Kyrgyzstan is a growing economy with strong foreign investments and currency exchange, and a stable government focussed on developing world class opportunities.
The stratigraphy of these licenses is very similar to those in the neighbouring basins. In particular the Tarim Basin (120 km to the south east of this acreage) has proven to be a prolific hydrocarbon producing area generating prodigious quantities of oil and gas.
Conservative economic modelling parameters, based on adjacent basin reservoir parameters, indicate traps with potential volumetrics ranging from 10 to over 100M bbls and Net Present Values (NPV @ 10%) between $12m and $1.2B.
