Sign up United Kingdom
Proactive Investors - Run By Investors For Investors

Roxi Petroleum hopeful of new farm-out for BNG oil block in Kazakhstan this year

Roxi Petroleum hopeful of new farm-out for BNG oil block in Kazakhstan this year

Kazakhstan-focused Roxi Petroleum PLC (LON:RXP) is hopeful it will have concluded a replacement farm-out arrangement for the BNG contract area later this year.

The comment was included in the group’s report for the six months to June 30 2011.

The group reached an acceptable agreement with previous farm-out partners for BNG, Canamens, following their decision to withdraw from Kazakhstan.  The cancellation raised Roxi's interest in this asset to 58.41 percent from 23.41 percent.

Roxi's principal objective is now to negotiate an acceptable replacement farm-out arrangement to allow the development work at its flagship asset to continue.

“It will not be until we have concluded a replacement farm-out arrangement on BNG that we can speak with confidence about the future. Based on our conversations to date we hope such an arrangement will be in place later this year,” Roxi said.

In January, Roxi completed a US$50 million farmout with LGI on the Galaz project.

The Galaz deal and the reimbursement from Canamens regarding BNG led to Roxi booking a pretax profit in the first half of US$45.08 million, compared with a loss of US$44.25 million.

Chief executive David Wilkes added: "We continue to be challenged with finding the right financing solutions for the exploration of some of the deeper prospects on BNG, however, we believe that should we be able to put this in place, together with the ongoing development of the NW Konys field, the transformation process for Roxi will be complete, moving us from a pure exploration company to an oil producer with additional upside in the form of further unexplored acreage on both our core assets."

View full CASP profile View Profile

Caspian Sunrise Timeline

Related Articles

range resources well in trinidad
August 16 2018
Infrastructure upgrades at Range’s Beach Marcelle oil field are underway, while two new wells at the project are due to be drilled later this year
Jack-up rig
September 25 2018
Two wells are already in small scale production but the new one, now called TLP-103c, will go down to 2,700m at target depth
July 24 2018
The company is focused in the Wheatland and Princess in Southern Alberta, where it is targeting the Lower Mannville formation

No investment advice

The Company is a publisher. You understand and agree that no content published on the Site constitutes a recommendation that any particular security, portfolio of securities, transaction, or investment strategy is suitable or advisable for any specific person. You further understand that none of the information providers or their affiliates will advise you personally concerning the nature, potential, advisability, value or suitability of any particular security, portfolio of securities, transaction, investment strategy, or other matter.

You understand that the Site may contain opinions from time to time with regard to securities mentioned in other products, including company related products, and that those opinions may be different from those obtained by using another product related to the Company. You understand and agree that contributors may write about securities in which they or their firms have a position, and that they may trade such securities for their own account. In cases where the position is held at the time of publication and such position is known to the Company, appropriate disclosure is made. However, you understand and agree that at the time of any transaction that you make, one or more contributors may have a position in the securities written about. You understand that price and other data is supplied by sources believed to be reliable, that the calculations herein are made using such data, and that neither such data nor such calculations are guaranteed by these sources, the Company, the information providers or any other person or entity, and may not be complete or accurate.

From time to time, reference may be made in our marketing materials to prior articles and opinions we have published. These references may be selective, may reference only a portion of an article or recommendation, and are likely not to be current. As markets change continuously, previously published information and data may not be current and should not be relied upon.

© Proactive Investors 2018

Proactive Investors Limited, trading as “Proactiveinvestors United Kingdom”, is Authorised and regulated by the Financial Conduct Authority.
Registered in England with Company Registration number 05639690. Group VAT registration number 872070825 FCA Registration number 559082. You can contact us here.

Market Indices, Commodities and Regulatory News Headlines copyright © Morningstar. Data delayed 15 minutes unless otherwise indicated. Terms of use