DUSHANBE, March 13, Asia-Plus — Canada’s Tethys Petroleum Limited (Tethys) recently started exploring oil and gas reserves of the Beshtenchak field in Khatlon’s Baljuvon district.
Speaking in an interview with Asia-Plus, Subhonqul Mavloni, a chief specialist with oil and gas exploration directorate within the Ministry of energy and Industries (MoEI), said there is no exact information about the possible gas reserves of that field. “They will be come known only after the exploration work, which is expected to be finished in the first half-year of 2008,” Mavloni said.
The Beshtenchak field is located 45 kilometers north of Kulob and is currently producing approximately 75 barrels of oil and limited gas production. The field was discovered in 1970 and there are currently 24 operational wells, 6 of which are currently producing at limited potential due to lack of investment and technology.
We will recall that speaking to reporters in Dushanbe on November 1, 2007, Dr David Robson, Chairman, President and Chief Executive Officer of Tethys, said Tethys is about to commence production operations in the Kulob area of the Khatlon province before the end of the year.
According to him, Tethys, through its wholly owned subsidiary, Tethys Tajikistan Limited (TTL), in October 2007 signed an agreement with Southern Oil and Gas Exploration State Unitary Enterprise (SOG) to commence activities on the Beshtenchak, Uznohor, South Pushiyon and Khoja Sartez fields before the end of this year.
Dr. Robson noted that his company had signed an Investment and Operating Agreement (IOA) with SOG relating to oil and gas fields in southern Tajikistan and the IOA had been agreed to and supported by the MoEI. Under the terms of the IOA, Tethys Tajikistan shall rehabilitate the fields and Tethys Tajikistan will provide all of the investment to increase the production of oil and gas. Any additional production shall be shared between Tethys Tajikistan and SOG. Additional gas production will be supplied to the local region.
Dr. Robson told journalists that initially Tethys will invest $8 million in operations in the territory of Tajikistan.
In January 2007, Tethys signed a Protocol of Intent with the Tajik government to negotiate a PSA for the large Kulob area of south-west Tajikistan and in early March 2007, the Tajikistan government introduced production-sharing legislation for the first time which lays the fiscal and commercial framework for such a PSC. In June 2007 Tethys extended the term and scope of its Protocol and the IOA also re-enforces the Ministry’s support for the planned PSA.
Tethys believes that there is an opportunity for large discoveries of both oil and gas exploration in the “virgin” territory of the Afghan-Tajik basin, a continuation of the prolific Amu Darya basin, in Tajikistan. Tethys believes that the Kulob area of southern Tajikistan offers very significant potential with existing discoveries in a proven hydrocarbon system with several different source rocks, reservoir rocks and large structures created both by tectonic activity and active salt movement.
