RAK Pushes toward First Gas in 2012 Onshore Oman

Block 30, Oman
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Oman Concessions
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RAK Petroleum has tested gas in the Hamrat Duru 4 well in Block 30, Sultanate of Oman.

RAK Petroleum holds a 100 percent interest in Block 30 subject to a 25 percent Government back-in right upon declaration of commerciality. The Hamrat Duru 4 appraisal well was drilled to test the Shuaiba reservoir which had not been tested in any previous wells on the Hamrat Duru structure. The Natih A, Natih C and Natih D reservoirs were also tested. The well was drilled to a depth of 1,620 meters and includes a lateral segment to encounter fractures.

Block 30 contains four existing discoveries, Nadir, Al Sahwa, Hafar and Hamrat Duru. A Field Development Plan has been submitted to the Ministry of Oil and Gas for approval that envisages a joint development of the fields with processing in a central facility before tie-in to the Oman gas grid only 16 kilometers away. Another option under consideration is construction of a dedicated power plant.

The test results have been very positive at the Natih A, C and D level with flow rates in excess of those expected. The Shuaiba test has flowed gas at initial rates up to 19 million cubic feet per day and has proven the existence of gas in the reservoir. However, during the test period some water has also been produced when flowing on high choke settings. Downhole pressure gauges will be removed from the well following a buildup period and the pressure information will enable a determination of the proximity of the gas water contact, or the presence of large fractures entering the water below.

"Success in the Hamrat Duru 4 well is a positive step forward for development of Block 30," stated Abdulaziz Al Ghurair, Chairman of RAK Petroleum's Board of Directors.

"Whilst the Shuaiba reserves assessment is inconclusive until the pressure data has been further studied, this test has proven the existence of producible gas. The Company will continue to test the Shuaiba reservoir to further determine the reservoir characteristics and the best estimate of flow volumes," noted Bijan Mossavar-Rahmani, RAK Petroleum's Managing Director and Chairman of its Board of Directors Executive Committee. "The test of the Natih A exceeded expectations at 11 million cubic feet per day, with the Natih C and D also producing at 5 million cubic feet per day. The Natih C and D reservoirs had not previously been included in the reserve estimates," he added. "Following these results, RAK Petroleum will push forward with the approvals process and hope to have first gas by early 2012," said Mossavar-Rahmani.



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