Max Petroleum Plc: Annual Report and Notice of AGM
Max Petroleum, an oil and gas exploration and production company focused on Kazakhstan, today announces the publication of its annual report and accounts for the year ended 31 March 2012. The Company also announces that its Annual General Meeting will be held at 11:00 am on Monday 24 September 2012, at the Lansdowne Club, 9 Fitzmaurice Place, Mayfair, London W1J 5JD. A copy of the Company’s annual report will be available on the Company’s website at www.maxpetroleum.com today and will be posted to shareholders with the notice convening the Annual General Meeting providing details of the venue, on or before 30 August 2012.
2P reserves2of 10.6 mmbo, a 36% increase on 2011, but a decrease of 20% from 13.3 mmbo at the half year primarily due to the results of the SAGW-2 well and the greater complexity of the Sagiz West Field.
Contingent resources in-place2 of 107.0 mmbo, compared to none in 2011, and an increase of 74% from 61.3 mmbo at the half year.
Spudded NUR-1 in November 2011, drilling to approximately 5,700 metres where the drill pipe became stuck due to anomalously high pressures encountered in the Kungurian salt beyond the scope of the original well
design.
Temporarily suspended drilling at NUR-1 and released the rig in July 2012, pending additional capital and regulatory approvals to complete the well.
Since 31 March 2011, drilled 19 post-salt wells, including five exploration wells generating two commercial discoveries at East Kyzylzhar I and Sagiz West, and 13 out of 14 successful appraisal and development wells
across six fields.
As at August 2012, the remaining post-salt exploration portfolio consists of seven Triassic Rim prospects with unrisked mean resource potential of 67 mmbo.
Since year-end, entered into US$7 million equity for services agreement with Zhanros Drilling LLP to drill up to four post-salt exploration wells.
Received approval for Full Field Development at the Zhana Makat Field, which provided the Group with the right to export up to 80% of the field‟s production from April 2012.
Since year-end, daily production has averaged approximately 3,900 bopd generating around US$8.0 million in pre-tax revenue per month.
