This seismic is to further define and analyze the extension of the Tuzluk structural trend (prospects delineated in the Kyrgyz Tuzluk license) and mature several Tajik prospects to drill-ready status on this trend in the Manas Western license area in Tajikistan.
Somon has identified seven large under-thrust prospects that are located close to existing oil fields, and were originally identified by soviet seismic and by a previous 123km 2D seismic acquired by Somon during December 2007 and June 2008. Manas Petroleum believes that the potential size of the Tajik resources is similar to that of the Manas Kyrgyz license area.
Once these seismic results are processed, interpreted and integrated with the pre-existing data, these prospects will be considered as candidates for a 2011 deep well drilling program.
The contract for the 2D seismic program has been awarded to Kazakh-based geophysical firm Dank Scientific Industrial. Dank is utilizing a 2D/3D compatible vibrator crew for the work.
Somon has established an office in Khudjand, the northern capital of Tajikistan, in order to technically supervise the program and to provide on-going local support for the licensing.
The total costs of the program are expected to be approximately $3m and these costs are funded by Santos International Ventures as part of the option farm out agreement. In December 2007, Manas Petroleum entered into an option farm out agreement with Santos for the Tajik licenses.
Should Santos exercise its option to farm-in, it will fund a phased $74m seismic, exploration and appraisal drilling program, with Manas retaining a 20% carried interest. Santos may withdraw from the program after drilling four exploration wells (end of phase 2 and $51m expenditure).
