Nelson Resources Limited is taking part in the development of the Alibekmola and Kozhasai oil fields in northwestern Kazakhstan.
Kazakhstan is the Caspian Region’s major oil and gas producer with a forecast production level in 2003 of 387.63 million barrels. There is intense interest in the oil and gas deposits of Kazakhstan. Although Nelson Resources is relatively new to oil and gas exploration and production, the company has built a team of local and foreign experts that have the necessary knowledge and expertise to not only rapidly develop the Alibekmola and Kozhasai fields but also locate and evaluate other existing fields as well as onshore and offshore exploration prospects.
At Alibekmola, the Kazakhoil Aktobe Limited Liability Partnership in which Nelson holds a 50% interest, has received Ministerial approval to start developing the field and is currently producing close to 15,000 barrels of oil per day from ten wells, two of which are well workovers and the other eight new wells that were drilled since 2001. In order to respond to an aggressive drilling program in 2003, KOA commissioned a second drilling rig in February ’03, a third drilling rig in May ’03 and the fourth and fifth drilling rigs later in September ’03. There are approximately seventy wells in the recently approved Alibekmola Field Development Program. Nelson announced that total oil production from Alibekmola during 2002 was 900,848 barrels, 50 % of which is attributable to Nelson.