Greenfields to drill new exploitation wells on Gum Deniz field
By Gulgiz Dadashova
Greenfields Petroleum Corporation, engaged in development and production of proven oil and gas reserves in Azerbaijan, plans to drill 40 new exploitation wells on the Gum Deniz oil and Gas field in the Azerbaijani section of the Caspian Sea in 2016.
Greenfields owns Bahar Energy Ltd. which is developing the oil and gas block, including Bahar and Gum Deniz deposits in the Azerbaijani sector of the Caspian Sea. In 2009, SOCAR signed a production sharing agreement (PSA) with Bahar Energy Ltd. for exploration, rehabilitation, development and extraction at the Bahar-Gum Deniz block.
“Under the 2016 plan for the Gum Deniz oil field development, 40 new wells will be drilled. Drilling will be carried out through one new and three existing platforms. Also, 22 wells were identified and they will be reconstructed,” the company reports.
The average daily volume of oil and condensate output from Bahar and Gum Deniz fell by one percent in 2015 to 1,033 barrels per day.
In March 2016, Greenfields Petroleum entered into an agreement with a liquidated company Baghlan Group and its liquidator to acquire 66.6 per cent stake in Bahar Energy Limited operating company. Greenfields became the sole shareholder of Bahar Energy Limited.
Bahar Energy Ltd., according to initial estimates, will invest $1 billion for implementation of works under the PSA. The PSA’s second part involves an exploration at the Bahar-2 field, drilling one exploration well in three years and another in the fourth year. Bahar field, located 40 km southeast of Baku, the capital of Azerbaijan, has been developed since 1969.
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