Caspian Sunrise PLC (AIM:CASP) traded 17% higher in Wednesday morning's exchanges, rising to 2.99p, as it received a two-year extension to its Yelemes Deep exploration licence in the BNG Contract Area, Kazakhstan.
The licence enables the company to resume development at Deep Well 803, where oil was previously detected, it said in a statement.
The BNG Contract Area lies 40km southeast of the Tengiz oilfield and includes both shallow and deep structures. Two shallow assets were sold earlier this year for $88 million. The firm noted that it may apply for a 25-year production licence once further development is completed.
“The award of the extension to the Yelemes Deep licence represents a major step forward and allows work to resume at the promising Deep Well 803,” said Clive Carver, Chairman.