Kuwait Energy Partnership
In November, 2010, East West Petroleum and Kuwait Energy Company entered into an exclusive partnership to jointly study 13 KEC exploration and production blocks in the Middle East, North Africa and Eurasia regions. The goal of these studies is to assess the hydrocarbon reserve potential of possible unconventional petroleum systems on the acreage and determine if the application of unconventional technologies can lead to commercial production. In addition, conventional reservoirs will also be studied to determine if the application of these technologies can enhance the production rates and overall value of existing proven reservoirs. The agreement covers a period of three years and provides EWP with the right to negotiate for equity positions up to a 30% participation interest in Kuwait Energy's position in the blocks under study. Total acreage covered under the agreement is more than 4,900,000 acres (20,000 sq.km.).
Key terms of this agreement include:
Joint team to study unconventional potential on more than 20,000 km2 (5,000,000 acres) of Kuwait Energy's acreage in Egypt, Yemen, Ukraine, Russia consisting of 13 E&P blocks
Three year exclusive agreement extendable upon mutual agreement
East West has right to negotiate for equity interests in KEC's positions where joint unconventional studies lead to investment opportunities
Participation interest up to 30% in KEC's interest - will vary depending on project (exploration, production etc.) and other factors
up to 10% for enhanced recovery if there is existing production
up to 30% on existing exploration blocks
Participation interest up to 50% for new acreage acquisitions
Additional KEC assets may be added
Country Block Block
Size
km2 KEC
Share (%) Exploration / Appraisal / Production Operator Partners Unconventional
Potential
(Y/N)
Egypt Burg el Arab 72 55.0 A, P KEC EWP
Gharib Y
Yemen Block 15 9,468 41.6 E, A KEC Kufpec TYC Y
Yemen Block 35 5,533 67.1 A KEC Virgin, Arc MND TYC Y
Yemen Block 43 933 28.3 E, P DNO KEC , TYC Y
Yemen Block 49 2,088 64.0 E KEC CCC, TYC Y
Yemen Block 74 1,200 34.0 E KEC Kufpec, TYC, Arc, Adelphi Y
Yemen Block 82 1,853 21.3 E Medco IOC, OIL Y
Yemen Block 83 364 21.3 E Medco IOC, OIL Y
Ukraine Rudis Group 216 100 E, A, P KEC --- ?
Russia Luzskoye / Chikshina 25 100 E, A, P KEC --- ?
Kuwait Energy Team
Dr. Manssour Aboukhamseen, Chairman and Managing Director
Dr. Manssour Aboukhamseen is a successful business entrepreneur and leader and the founder of several successful business enterprises. He has over 23 years of experience in the oil and gas industry in Kuwait Oil Company (KOC), Zahra Group and Kuwait Energy. He has a Ph.D in Modern History from Berkeley University, California, U.S.A
Mrs. Sara Akbar, Board Member and Chief Executive Officer
Sara Akbar is a well-known figure in the petroleum industry, both in Kuwait and internationally. She has over 28 years experience in the oil and gas industry, having worked in several challenging positions in KOC and in Kuwait Foreign Petroleum Exploration Company (KUFPEC). She has a B.Sc in chemical engineering from Kuwait University.
Mr. Harry Saul, Vice-President Exploration & Divestment
Harry Saul has over 29 years of experience in the oil and gas Industry world-wide. His past experience includes acting as an Advisor, New Business Development for the Kuwait Foreign Petroleum Exploration Company and Manager of International Acquisitions for Coastal Oil and Gas Corporation of Houston, Texas. His expertise includes acquisitions and divesture, reserves evaluation, exploration economics, reservoir and production engineering, oil and gas field studies and he has acted as a lecturer and author in the oil and gas field. Mr. Saul holds a Master of Engineering in Industrial Engineering from Texas A&M University, Texas, and a BS in Physics from Sam Houston State University, Huntsville, Texas.
