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In February 2012, the Company completed the acquisition of Vamaro Investments Limited (“Vamaro”), the 100% legal and beneficial owner of two licences for geological study of subsoil, prospecting and extraction of oil and gas in the Yuzhno-Sardakovsky field and in the Zapadno-Novomolodezhny field in the KhantyMansiysk Autonomous Region in Western Siberia (the “Vamarov Project”).
Prior to the acquisition of Vamaro by the Company, 13 exploration wells had been drilled in the ZapadnoNovomolodezhny field and six exploration wells had been drilled in the Yuzhno-Sardakovsky field.
Since acquiring Vamaro, the Company has worked over three wells at the Yuzhno-Sardakovsky field and three wells at the Zapadno-Novomolodezhny field, along with two wells at the Krasnoleninsky project, and is currently evaluating the results from this work and will make a further announcement once the results have been evaluated.
Well number 34 at the Yuzhno-Sardakovsky field is an appraisal well drilled with the purposes of increasing proved reserves in known reservoirs, discovering new production reservoirs, obtaining new core data, clarifying well production potential and preparing for production drilling of the field. It is is expected to take approximately two months to drill the well to its target true vertical depth of 3,100 metres.
Commenting on the commencement of drilling Well number 34 at its Yuzhno-Sardakovsky field, Chris Hopkinson, International Petroleum CEO said, “As soon as the Company received the cash from the placement in February 2012, it quickly began mobilising contractors in Siberia, to take advantage of the winter season, and has achieved a great deal; building a pipeline and other infrastructure and working over eight wells – some of which will soon be put on production – and preparing to drill three new exploration wells”.