Transmeridian Well Begins Production
Monday June 19, 4:21 pm ET
Transmeridian Exploration Begins Production at Seventh Well in Kazakhstan
HOUSTON (AP) -- Transmeridian Exploration Inc., which develops oil reserves in the Caspian Sea region, said Monday it has begun production at its SA-11 well in Kazakhstan, with output of about 1,400 barrels of oil daily.
The company said the combined production of its seven wells in the South Alibek field is now about 2,600 barrels of oil daily. Transmeridian expects to begin production at another well later this month, to bring total production over 3,000 barrels of oil per day.
The company also said it has struck an agreement for the sale of produced gas from the South Alibek field, allowing it to meet a July 1 deadline from the Kazakhstan government to submit a gas utilization plan. Under the agreement, an undisclosed contractor will build and own the gas gathering and handling facilities.
Terms of the agreement undisclosed.
Shares of Transmeridian Exploration fell 5 cents to $4.71 on the American Stock Exchange.
