SOURCE: Zhaikmunai LP

June 07, 2012 02:00 ET

Crude Oil Well #24 Exceeds Expectations

ISLE OF MAN, UNITED KINGDOM--(Marketwire - Jun 7, 2012) -

                            Zhaikmunai L.P.
                          (the "Partnership")

                    FROM WELL #24 EXCEED EXPECTATIONS

Zhaikmunai LP (LSE: ZKM), the oil and gas exploration and production
enterprise, is pleased to announce production rates of 1,184 barrels of
crude oil from Well #24. These production rates exceeded expectations
by 50%. Well #24 is located in the north-eastern part of its
Chinarevskoye field in Kazakhstan and is currently characterised as

* Formation: Lower Carboniferous Tournaisian carbonate
* Initial production rates (at wellhead pressure of 26 bars and at
  choke size of 18mm):
    * Crude oil:       1,184 barrels of oil per day
    * Associated gas:  89,285 cubic meters per day


The afore-mentioned production rates were obtained from relatively low
permeability reservoir intervals (0.5-5.0 mD). Preparation for the
perforation of the high permeability intervals of the reservoir is
currently underway and will likely increase the production rates by
some 25% to 45% to an expected 1,500 to 1,700 barrels of oil per day.


Well #24 was originally drilled as a production well in 2004. This well
represented a low cost opportunity to increase production and, as a
result, a decision was made in 2011 to halt existing production and to
side-track the original well. Zhaikmunai applied side-tracking and well
stimulation technology to the well and penetrated the reservoirs at an
angle of 60 degrees to provide enhanced access to the reservoir. This
technology had previously not been used on the field.

Kai-Uwe Kessel, CEO of Zhaikmunai, commented:"Well #24 gave us the
opportunity to test new side tracking technology
on an old existing well. The result has been initial production rates
exceeding our expectations. We now look forward to the tie-in of well #
24 to the Oil Treatment Facility (OTF) following the scheduled
perforation process of the high permeability intervals of the

For further information please visit 

Here you can download the pdf file from this press release.

Further enquiries

Zhaikmunai LP
Bruno Meere, Investor Relations Officer             +44 (0) 1624 68 21 79

Pelham Bell Pottinger
Philip Dennis
Elena Dobson                                 +44 (0) 20 7861 3232

About Zhaikmunai

Zhaikmunai is an independent oil and gas enterprise currently engaging
in the exploration and development and production of oil and gas. It is
listed on the London Stock Exchange (Ticker symbol: ZKM). Its principal
producing asset is the Chinarevskoye Field located in north-western
Kazakhstan. Zhaikmunai L.L.P., a wholly-owned subsidiary of Zhaikmunai
L.P., holds a 100% interest in and is the operator of the Production
Sharing Agreement for the Chinarevskoye Field.

Forward-Looking Statements

Some of the statements in this document are forward-looking.
Forward-looking statements include statements regarding the intent,
belief and current expectations of the Partnership or its officers with
respect to various matters. When used in this document, the
and similar expressions, and the negatives thereof, are intended to
identify forward-looking statements. Such statements are not promises
or guarantees, and are subject to risks and uncertainties that could
cause actual outcomes to differ materially from those suggested by any
such statements.

                    This information is provided by RNS
          The company news service from the London Stock Exchange


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