Rostosinskoye, Darjinskoye and Yuzhno-Gremyachinskoye
Advancing our growth prospects
Value accretive acquisitions form part of our strategy to grow. In 2013, we acquired three additional fields within 120km of Chinarevskoye to add additional reserves to our portfolio, and we continue to appraise other nearby opportunities.
Subsoil rights acquisition
Nostrum has rights to 100% of the subsoil use related to three oil and gas fields in the pre-Caspian Basin to the North-west of Uralsk, namely the Rostoshinskoye, Darjinkskoye and Yuzhno-Gremyachinskoye fields. These fields were acquired under an asset purchase agreement in 2013. The Ministry of Oil & Gas signed supplementary agreements relating to those rights, which became effective from 1 March 2013. Nostrum subsequently applied for extensions to these three licences, two of which are effective with one outstanding decision expected to be received in H1 2019.
from Chinarevskoye licence area
Decades of successful exploration activities have shown that the three fields contain hydrocarbons suitable for commercial production. The bulk of the hydrocarbons are located in the Bashkirian stage of the Carboniferous, with other reservoirs being of Permo Carboniferous age. Prior to development there will be significant appraisal required to explore existing accumulations and deeper intervals.
During 2016, we drilled an appraisal well at Rostoshinskoye. The results of this appraisal well were evaluated in 2017 and changed the geological model of the Rostoshinskoye field and also increased the reserves potential of the Bashkirian section of the adjacent Darjinskoye.
Total combined reserves
Nostrum has an outstanding track record of converting reserves. An independent reserve report by Ryder Scott dated 1 January 2019 has shown Nostrum has 410 mmboe of proved and probable reserves, 116 mmboe of which are contained in the Trident fields. In line with our strategy, we will continue to look to increase our reserve base and secure production growth.
In addition to the estimated 2P reserves, contingent resources have been identified in the Chinarevskoye, Rostoshinskoye, Darjinskoye and Yuzhno-Gremyachinskoye licence areas. The 1C+2C contingent resources estimated as of 1 January 2019 for the Chinarevskoye area amount to 111 million barrels of liquids and 462 billion cubic feet of sales gas. For the three additional licences the contingent resources amount to 15 million barrels of liquids and 269 billion cubic feet of sales gas.