Caspian O&G: Name Change to Equus Minning Ltd and Pulls out of the Kyrgyz Republic
With the majority of the Kyrgyz oil and gas exploration permits set to expire without prospect of renewal, Caspian sold its oil licence owning subsidiaries for a total of US$800,000 in late September 2012.
The sale of the oil interests followed extensive but unsuccessful farm-out efforts which were hampered by the inability to extend the tenure of the exploration permits. Flow rates and revenue from the production licences had continued to decline, making a shutdown or disposal of the Kyrgyz operations inevitable.
The West Mailisu #2 well, which Caspian spudded in June 2011, was pump tested in December. Some 10m³ of completion fluid and 3.2 m³ (~20bbls) of oil was recovered before the pump ran dry. Subsequent measurement of the fluid level in the hole confirmed that there was little further influx into the wellbore from the formation, indicating that the formation is either tight and/or damaged.
The Mailisu III #6 well was put into production in late May 2012, following the removal of stuck perforation guns. After an initial flush production, the well produced at around 10 barrels of oil per day.
