www.aurelianoil.com
Aurelian Oil & Gas PLC, was founded in December 2002, and is focused on the re-emerging Central and Eastern European oil and gas markets, the oldest producing oil province in the world.
Current projects span the region from Poland to Bulgaria, with production in Romania, a deep appraisal well drilled on a large structure in Poland in March 2007 to be developed with a further horizontal well to be drilled in 2010, together with exciting exploration prospects including projects in four countries, Romania (4 blocks), Slovakia (3 blocks), Bulgaria (2 blocks) and Poland (14 blocks). Aurelian is the operator in all of these except Bulgaria.
Aurelian’s dry Bulgarian JV well seen as buying opportunity by FinnCap
The drop in the Aurelian Oil & Gas (LON:AUL) share price yesterday may have been the last buying opportunity prior to key drilling news in Poland, according to FinnCap analyst William Arnstein.
In the broker’s ‘First Thoughts’ note to clients Arnstein emphasised that the dry joint venture well in Bulgaria was immaterial to the AIM stock’s valuation and investment case.
Yesterday JKX oil & Gas (LON:JKX) reported that the ‘Staro Oryahovo South R-01’ well is being plugged and abandoned after no commmercial volumes of hydrocarbons were found.
“With shares off 5% on this news we believe a buying opportunity may have been created, which may be the last prior to well results from the Traezk-2 currently drilling in Poland,” Arnstein said.
Aurelian chief executive Rowen Bainbridge already stated that the Bulgarian joint venture is considered non-core for the company.
Aurelian is focusing its exploration, appraisal and development activities in two core areas:
The Southern Permian Basin in Central and Western Poland and the Carpathian Thrust Fold belt in Southern Poland, Slovakia and Western Romania.
At the Siekierki gas project - in the Poznan license on the Southern Permian Basin – the company recently took a major step forward.
Last week Aurelian said it found a 100 metre gas column in Trzek-2 Multi Fracced Horizontal Well (MFHW), which was the first of its kind in Poland.
The well encountered the gas in the top reservoir within the vertical section of Trzek-2.
"Encountering the estimated 100 metre gas column, on schedule and on budget, is a major step forward,” Bainbridge said last week.
The well represents a major step in the development of the Siekierki Tight Gas Project, where Aurelian already has a resource of 346 billion cubic feet (Bcf) of gas.
