Finance & Investing
News Services
Newsletters
Get free industry updates via email.
Daily News
Weekly News
Equipment Updates
Weekly Job Register
Monthly Event Guide
Our privacy
pledge.


advertisement

Circle Farms into Beni Khaled License Onshore Tunisia

change text size

Junior explorer Circle Oil reported Thursday that it has agreed to farm into the Beni Khaled production license in Tunisia. The company will acquire an initial 30-percent interest in the license from Exxoil in return for the funding of a 19-square mile 3D seismic data acquisition program and one well.

The initial funding is expected to cost Circle $5 million, although the agreement allows for Circle to increase its share in the license to 50 percent in two stages by providing funding of up to $2 million for one well in each stage.

Beni Khaled is located on the Cap Bon peninsula. The license area contains the undeveloped Bir Drassen discovery well BDR-1, which has tested at a rate of 23.5 million cubic feet of gas per day and 28 barrels of condensate per day. It also indicate the potential for an unappraised oil rim, according to Circle.

The firm added that initial estimates of most-likely recoverable resources from Bir Drassen indicate between 47 and 50 billion cubic feet of gas, with the possibility of six million barrels of oil in the in the oil rim. In addition, two further undrilled leads have been identified within the production license, although these are to be confirmed by the 3D seismic survey that Circle has agreed to fund as part of the farm-in deal.

3D seismic data acquisition is planned to start in late 2013/early 2014, with a first drill expected during the second half of 2014.

Circle CEO Professor Chris Green commented in a company statement:

"We are pleased to announce this farm-in with a proven discovery and additional potential upside. This farm-in is the start of furthering the company's development for the near to mid-term and represents an opportunity to monetize a low risk opportunity in the near-term."
 



Have a news tip? Share it with Rigzone!
Email news@rigzone.com

WHAT DO YOU THINK?

Post a Comment Generated by readers, the comments included herein do not reflect the views and opinions of Rigzone. All comments are subject to editorial review. Off-topic, inappropriate or insulting comments will be removed.

Related Companies

More from this Author
Rigzone Staff
e-mail us at news@rigzone.com
 -  Pertamina to Deploy New Rig to Drill a... (Sep 19)
 -  GE Oil & Gas Wins Subsea Manifold Deal... (Sep 18)
 -  Statoil to Lay up COSL Pioneer Rig for... (Sep 18)
 -  Burton on the Wolds Operation to Start... (Sep 18)
 -  Keppel FELS Clinches $227M Contract fr... (Sep 17)
Most Popular Articles
From the Career Center
Jobs that may interest you
Senior Geoscience Technologist
Expertise: Geoscience Technician
Location: The Woodlands, TX
 
Petrophysicist-Petrophysical Technology
Expertise: Petrophysicist
Location: The Woodlands, TX
 
Senior Recruitment Consultant
Expertise: Business Development, Human Resources, Sales and Marketing
Location: Houston, TX
 
search for more jobs