Jupiter Energy Limited holds a 100% interest in an exploration permit (Block 31) located in the Mangistau Basin in South West Kazakhstan. The permit currently covers an area of 123 km2 and is located on trend with three existing producing oil fields that have potential resource in excess of 56 million barrels of oil (mmbbls). The prospective permit is located within the Zhetybai-Uzen step, adjacent to the Akkar North and North West Zhetybai oilfields. Government records indicate that there has already been production of approximately 6 billion barrels of oil within this region. The Block has had 3D seismic shot over 235 km2 covering all of Block 31 and some surrounding acreage. The Company has completed eight wells on the permit (J-50, J-51, J-52, J-53, J-55, J-58, J-59 and Well 19).
The J-51, J-52, J-53 and Well 19 wells have received approval from the Kazakh authorities for their respective 2015 Trial Production Licences (TPL). J-50 is awaiting renewal of its 2015 Trial Production Licence. TPL applications for the J-58 and J-59 wells are currently in progress. During the TPL period, all oil produced can only be sold into the domestic market. Oil production is currently shut in as local domestic oil pricing is uneconomic.
Regular updates on the progress being made in country will be released via ASX/AIM/KASE announcements that can be accessed through the Newsroom link.
Reasons for Success
JPR believes it has the following key elements that will ensure it becomes a successful oil producer in one of the most prospective oil producing countries in the world:
- An experienced and well connected board and management.
- A proven local team with access to skilled Kazakh human resources/sevice companies.
- Strong cornerstone investors (holding ~50% of the issued capital) with a proven track record in assisting in the development of emerging exploration and production companies.
- 100% ownership of an excellent piece of acreage in the oil rich Mangistau Basin, SW Kazakhstan. Current State approved C1 + C2 preliminary reserve estimations stand at ~64 mmbbls recoverable.
- All 8 wells drilled to date have discovered oil.
- Access to the export oil market through the nearby port city of Aktau - thereby giving the Company the opportunity to monetise oil discoveries at the best possible prices when in Full Production.