An Upstream Opportunity in the Caspian Sea

An owner-managed company holding exploration and production licenses in the North Caspian region (Russia) is looking for selling a strategic stake (> 69%) to a strategic investor.

An owner-managed company holding exploration and production licenses in the North Caspian region (Russia) is looking for selling a strategic stake (> 69%) to a strategic investor.

-The owners, who are the founders and managers of the company, are specialists in identifying and exploring oil deposits. The team makes an exit when exploration work has been completed and the upstream asset is ready for operation
-Degolyer and MacNaughton – the reserves auditing firm has been involved in auditing the potential of the reserves
-Proven reserves: 1.45 Billion bbls (P1=468 mmb; P2=380 mmb; Contingent (C3) = 605 mmb)
-Production has recently started and the current volume is 200 b/d, steady for 28 months; This year the volume can be increased to 1100 b/day and 25,000 by 2016 and at least 50,000 b/d by 2020
-The full utilization of license provides access to stocks of ~ 315 billion barrels of oil.

Key advantages of the company’s assets are as follows:

-Low-cost development terrain (development costs estimated at less than $1.50/bbl);
Strategic location to nearby infrastructure: rail, sea transport, pipelines;
-The company qualifies for the Mineral Extraction Tax (relief) that offers it significant cost advantage
-Experienced team, which, even in case of selling a strategic stake is ready to work on further development of the deposits.

All the necessary documentation of this project (including detailed geological studies) are available. Investors can contact us for more information.