Grand Cayman, Cayman Islands--(Newsfile Corp. - March 20, 2024) - Tethys Petroleum Limited (TSXV: TPL) ("Tethys" or the "Company") is pleased to provide an update on the Company's operations in the Republic of Kazakhstan.
Regulatory update
On March 12, Tethys received gas flaring permits for exploratory wells from the Ministry of Energy. Subsequently, Tethys completed an application for an ecology permit, which is essential for oil production from the KBD-10 and KBD-11 wells scheduled for April. The Company hopes to receive the approval by April 5.
Regarding the commercial license, while the Working Group for the Gas Processing Program of the Ministry of Energy provided a positive review on March 1, the Ministry has not yet issued the official minutes of the Working Group, causing a delay beyond the March 15 deadline. Consequently, Tethys has initiated the process of reapplying for the ecology permit necessary for commercial production. The Company is hoping to receive the commercial license by the end of May. The oil handling and gas utilization facilities are not yet complete, but the Company expects to have them in place and operational when the commercial license is received.
Reserve report
Tethys engaged McDaniel and Associates Consultants to provide a reserve report as of December 31, 2023. This report has now been completed and was prepared in compliance with NI51-101, Standards of Disclosure for Oil and Gas Activities and the COGE Handbook. Overall, the total proved and total proved + probable reserves are up about 3.7 Mboe (8%) and 3.5 Mboe (4%) respectively. The following is a summary from the report:
2023
2022
Reserve Category
Barrel of Oil
Barrel of Oil
Equivalent (net Mboe)
Equivalent (net Mboe)
Total Proved Reserves
49,493
45,814
Total Proved and Probable
85,676
82,193
Total Proved, Probable, and Possible
126,454
124,534
2023
2022
Total of NPV after
Total of NPV after
taxes ($M US Dollars)
taxes ($M US Dollars)
Reserve Category
0.00%
10.0%
0.00%
10.0%
Total Proved Reserves
$
640,549
$
383,223
$
603,795
$
361,274
Total Proved and Probable
$
1,190,616
$
628,707
$
1,174,301
$
610,474
Total Proved, Probable, and Possible
$
1,876,916
$
883,849
$
1,888,997
$
891,946
Crude Oil NPV
Crude Oil NPV
Reserve Category
0.00%
10.0%
0.00%
10.0%
Total Proved Reserves
$
628,240
$
373,235
$
576,885
$
340,032
Total Proved and Probable
$
1,166,837
$
612,370
$
1,130,528
$
580,471
Total Proved, Probable, and Possible
$
1,845,856
$
863,768
$
1,836,017
$
857,825
Natural Gas NPV
Natural Gas NPV
Reserve Category
0.00%
10.0%
0.00%
10.0%
Total Proved Reserves
$
12,309
$
9,988
$
26,910
$
21,242
Total Proved and Probable
$
23,779
$
16,337
$
43,773
$
30,003
Total Proved, Probable, and Possible
$
31,060
$
20,081
$
52,980
$
34,121
The difference in the estimated reserve value on the gas fields is due to a reduction in the expected prices.
About Tethys
Tethys is focused on oil and gas exploration and production activities in Central Asia and the Caspian Region.
Disclaimer
Some of the statements in this document are forward-looking. No part of this announcement constitutes, or shall be taken to constitute, an invitation or inducement to invest in the Company or any other entity and shareholders of the Company are cautioned not to place undue reliance on the forward-looking statements. Save as required by applicable law, the Company does not undertake to update or change any forward-looking statements to reflect events occurring after the date of this announcement.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.