Gulf Keystone Announced Shaikan 3 Flows

Source: www.gulfoilandgas.com 2/14/2011, Location: Middle East

Gulf Keystone Petroleum is pleased to announce an update on the Shaikan-3 Shallow Appraisal Well. Following completion as a Sargelu/Alan formation producer and as a result of an acid treatment, Shaikan-3 has achieved a rate of 9,800 bopd.

The stabilized flow rate was recorded on a 128/64th inch choke with a flowing tubing pressure of 264psi. The higher rate achieved by Shaikan-3, an improvement of approximately 30% on the previously reported rate of 7,480 bopd for Shaikan-1, is due to the removal of formation plugging around the well bore. Since data gathered from Shaikan-1 also indicates formation plugging a similar acid treatment will be performed on this well.

Both Shaikan-1 and Shaikan-3 are tied into the nearby extended well test facilities with a storage capacity of over 20,000 barrels.

The Company has a 75 percent working interest in the Shaikan block and is partnered with the MOL subsidiary, Kalegran, and Texas Keystone which have the remaining 20 and 5 percent working interests respectively.

John Gerstenlauer, Gulf Keystone's Chief Operating Officer commented: "The productivity increase achieved as a result of this acid treatment once again demonstrates the robust nature of these reservoirs and bodes well for our current oil sales and future field development."


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