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(Sharecast News) - Caspian Sunrise announced on Friday that it has secured a full production licence for the Airshagyl structure within its BNG Contract Area in Kazakhstan, enabling it to resume development and sell the majority of produced oil on the international market.
The AIM-traded firm said the Airshagyl structure, which spans 58 square kilometres, had seen four deep wells drilled to date, with plans to sidetrack Well A5, apply chemical treatment to Well A6, and resume drilling to total depth on Well A7. Well A8 has been designated for abandonment.
It said the production licence was granted for an initial three-year term within a broader 25-year application submitted in the third quarter of 2024, shortly before the expiry of the prior appraisal licence.
During the initial period, no historical costs will be assessed.
The Kazakh authorities confirmed 26 million barrels of C1 reserves in the vicinity of the drilled wells, with potential to upgrade this estimate through further drilling.
Separately, Caspian Sunrise said it had submitted a similar 25-year licence application for the Yelemes Deep structure, which covers 36 square kilometres and hosts three deep wells.
The company said the granting of the Airshagyl production licence marked a key milestone in unlocking value from its deep asset base.
At 1444 BST, shares in Caspian Sunrise were up 5.19% at 2.84p.
Reporting by Josh White for Sharecast.com.
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