KUALA LUMPUR (Sept 28): Reach Energy Bhd's producing asset in Kazakhstan, Emir-Oil LLP, has obtained authority approval to commence the trial production period of the North Kariman field in Kazakhstan for 15 months.
In a filing with Bursa Malaysia today, Reach Energy said the 15-month trial production period will commence on Oct 1, 2018 to Dec 31, 2019.
The approval granted for the trial production period allows Emir-Oil to put the North Kariman wells on production, and this is expected to increase current oil production levels substantially.
Reach Energy said the approval of the trial production period for the North Kariman field provides a clear signal from the authority for the company to proceed with the processes required to obtain a new production contract for the field.
In its 2017 annual report, Reach Energy had stated that it had applied for extension of trial production for the North Kariman wells to the Ministry of Energy of Kazakhstan.
At 5pm today, Reach Energy shares closed unchanged at 44 sen, for a market capitalisation of RM562 million.