Genel Energy PLC: Update on Sarta and Qara Dagh

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Genel Energy PLC (GENL) 
Genel Energy PLC: Update on Sarta and Qara Dagh 
 
28-Feb-2019 / 07:00 GMT/BST 
Dissemination of a Regulatory Announcement, transmitted by EQS Group. 
The issuer is solely responsible for the content of this announcement. 
 
                      28 February 2019 
 
           Genel Energy plc 
 
           Update on Sarta and Qara Dagh 
 
     Genel Energy plc ('Genel' or 'the Company') is pleased to announce that 
        approval has been given by the Kurdistan Regional Government ('KRG') 
 regarding the acquisition of stakes from Chevron in the Sarta and Qara Dagh 
                      blocks, in the Kurdistan Region of Iraq. 
 
  The acquisitions have now closed and Genel therefore has 30% equity in the 
    Sarta PSC, with Chevron holding 50% and the KRG the remaining 20%. Final 
     investment decision relating to Sarta phase 1A development has now been 
                      taken. 
 
   Phase 1A begins with two wells, recompleting the Sarta-2 well and placing 
    the Sarta-3 well on production, both of which flowed approximately 7,500 
  bopd on test, and the construction of a central processing facility with a 
      20,000 bopd capacity. Another well is expected to follow within twelve 
   months of first oil, and further production capacity will be added as the 
  field is developed and production ramps up. First oil is expected in 2020, 
     with a total cost to Genel estimated at $60 million to the end of 2020. 
 
 Genel has booked an initial 10 MMbbls of net 2P reserves relating solely to 
    this preliminary phase of the project. Unrisked gross mid case resources 
  relating to the Mus-Adaiyah reservoir only are estimated by Genel at c.150 
MMbbls, with overall unrisked gross P50 resources currently estimated by the 
                      Company at c.500 MMbbls. 
 
   Genel now holds 40% equity in the Qara Dagh PSC and is the operator, with 
      Chevron holding 40% and the KRG the remaining 20%. Work is underway on 
 assessing the optimal location for the Qara Dagh-2 well, which is set to be 
   drilled in 2020. Unrisked gross mean resources at Qara Dagh are currently 
                      estimated by Genel at c.200 MMbbls. 
 
           -ends- 
 
                      For further information, please contact: 
 
Genel Energy                          [phone] 
 
Andrew Benbow, Head of Communications 
 
Vigo Communications                   [phone] 
 
Patrick d'Ancona 
 
                      Notes to editors: 
 
       Genel Energy is an independent oil and gas exploration and production 
  company listed on the main market of the London Stock Exchange (LSE: GENL, 
    LEI: 549300IVCJDWC3LR8F94). The Company, with headquarters in London and 
offices in Ankara and Erbil, is one of the largest London-listed independent 
   oil producers, and is the largest holder of reserves and resources in the 
   Kurdistan Region of Iraq. Genel has highly cash-generative oil production 
    from the Taq Taq and Tawke licences, with material growth potential from 
other assets in the portfolio. Genel also continues to pursue further growth 
 opportunities. For further information, please refer to www.genelenergy.com 
                      [1]. 
 
ISIN:          JE00B55Q3P39 
Category Code: MSCM 
TIDM:          GENL 
LEI Code:      549300IVCJDWC3LR8F94 
Sequence No.:  7653 
EQS News ID:   782079 
 
End of Announcement EQS News Service 
 
 
1: https://link.cockpit.eqs.com/cgi-bin/fncls.ssp?fn=redirect&url=3ec46b352f38452116096dbbab51b09e&application_id=782079&site_id=vwd&application_name=news 
 

(END) Dow Jones Newswires

February 28, 2019 04:34 ET (09:34 GMT)