A Kazakhstan-focused exploration and production firm has announced record results for the first half of this year.
Nostrum Oil and Gas, which engages in production, development and exploration primarily in north-west Kazakhstan saw pre-tax profits increase by 9.6% on 2013’s results to $312.7million.
Results for the first half the year include a production increase of 0.4% to 46,569 boepd (barrels of oil equivalent per day) up from 46,178 boepd for the 2013 financial year.
Chief executive officer, Kai-Uwe Kessel, said: “Nostrum has continued to deliver strong operational and financial results in the first half of 2014, with total average daily production of 46,569 boepd, exceeding our yearly production target of 45,000 boepd.”
“Currently, Nostrum has 15 oil wells and 15 gas condensate wells at the Chinarevskoye field in north-west Kazakhstan.
“Nostrum has the potential to increase its output even more with the fully tested Borikovski horizon, which has an estimated eight million barrels at the site.
Mr Kessel commented on the Chinarevskoye field, he said: “We are now progressing towards the completion of the third gas treatment facility at Chinarevskoye, on time and on budget, to deliver production of 100,000 boepd by the end of 2016.”
Earlier this year Nostrum announced it had entered into a contract with KazStroyService, a $1.5billion revenue engineering, procurement and construction company also based in Kazakhstan.
The contract includes the construction of a third unit of the group’s gas treatment facility for a consideration of $150million, which is in line with Nostrum’s GTU3 project.
The GTU3 project, which remains on time and on budget at less than $500million, will double the firm’s production by 2016.