November oil production and exploration update
West Siberian Resources Ltd`s oil production during November 2006 amounted to 830,577 barrels (403,970 barrels)[1] or 27,686 barrels per day (13,466 barrels per day). An additional oil bearing formation was encountered as drilling was finalized at the Kulturnenskaya prospect in Volga Urals.
Tomsk region
At the Kluchevskoye oil field, well no 205 was completed and put into production. The 2006 drilling program was completed. The drilling equipment has been conserved awaiting the start of the 2007 drilling program. Electric submersible pumps (ESP) were replaced in seven production wells in the region.
Timano Pechora region
At the Middle Kharyaga field, the water injection profile on well no 1015 was corrected. ESP`s were replaced in three production wells. Construction of winter roads from Middle Kharyaga to the North Kharyaga and Lek Kharyaga fields started.
In November, all outstanding shares of CJSC “Northoil” were acquired. Northoil holds the license to produce hydrocarbons from the Kolvinskoye oil field in the Timano-Pechora region. Production from the field is scheduled to start in 2008. The current development plan projects drilling 34 wells, constructing a pipeline for oil transportation, and establishing an oil processing facility in the field. The Kolvinskoye field is expected to produce approximately 25,000 barrels per day within three years from the production start.
Volga Urals region
The Kulturnenskaya exploration well was drilled to the target depth of 3,390 meters. Oil was also encountered in the Bobrikovski formation, which is scheduled to be tested in December. Previously initial open hole tests yielded a rate of 3,500 barrels of oil per day from the Bashkirian formation.
Five workowers were carried out to support production from the Novo Kievskoye and the Kochevnenskoye oil fields. Processing capacity constrains regional production following recent rapid production increases. Oil treatment facilities and power systems will be upgraded in 2007 to facilitate further production increases.
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[1] Comparisons reflect the same month in the prior year