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Tethys Petroleum Limited is excited to share the latest developments regarding its operations in the Republic of Kazakhstan. The company has made substantial strides in enhancing its production capabilities and extending key contracts, which are pivotal for its long-term success.
Transition to the Production Phase of Kul-Bas Oil Field
The Ministry of Energy of Kazakhstan granted approval for Tethys to transition the Kul-Bas oil field into the Production Period, which will last until 2048. This approval marks a significant milestone for the company, facilitating ongoing production well past the current preparatory phase. Following this, Tethys aims to finalize an Addendum to the subsoil use contract, reflecting the new terms. The company anticipates that this agreement will be signed contingent upon fulfilling necessary formalities.
Operational Insights
Oil extraction from wells KBD-02, KBD-06, and KBD-07 has averaged approximately 425 tons per day. This output has experienced fluctuations, which are attributed to the ongoing optimization of surface facilities. Currently, Tethys is working on one of its gas turbines, with hopes that its return to service will enhance production levels. Additionally, commissioning efforts for a new gas compressor are in progress, which, if successful, will further boost production capacity.
Moreover, the design and construction of the field camp and the oil processing and storage facilities at the Central Processing Facility are advancing smoothly. Plans for a new Gas Processing Facility and an 18-kilometer gas pipeline are also underway. Natural gas production from the Kyzyloi and Akkulka Gas Fields is currently around 230,000 m³ per day, sourced from 21 gas wells.
Contract Extension for Akkulka Gas Field
Tethys has taken proactive steps by submitting a request to the Ministry of Energy for an extension of the subsoil use contract for the Akkulka Gas Field, which is set to expire soon. The company is seeking to extend this contract for a significant period. Anticipation is high for approval, with the subsequent signing of the Addendum expected, subject to the completion of pertinent procedures.
Voluntary Delisting from Kazakhstan Stock Exchange
In another strategic move, the Board of Directors at Tethys Petroleum has approved a resolution for a voluntary delisting of the company’s securities from the Kazakhstan Stock Exchange (KASE). This decision comes in light of minimal trading activity on KASE over an extended period, prompting the Board to conclude that maintaining a secondary listing there offers limited benefits to shareholders. Tethys’s primary listing remains on the TSX Venture Exchange (TSXV), which continues to be its main trading platform.
Conclusion and Future Outlook
Tethys Petroleum is resolutely focused on its operations within Central Asia, particularly in Kazakhstan. With recent approvals and ongoing projects aimed at enhancing production capabilities, the company is well-positioned for future growth. Investors and stakeholders are encouraged to stay informed as Tethys continues to navigate and expand its operational landscape in the oil and gas sector.
As Tethys moves forward, it remains committed to transparency and will keep shareholders updated with any significant developments.
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