Currently, Timan Oil and Gas PLC has an open offer to obtain 3 additional oil exploration and production licenses in the Komi Republic. This dynamic company already owns 100% of the interest in both the Nizhnechutinskoye and the Khudayelskoye fields. The specific geographic area encompassed within the Nizhnechutinskoye and Khudayelskoye perimeters includes nearly 350,000 square kilometers of the Timan-Pechora Basin.
Timan Oil and Gas PLC possesses a formidable advantage in comparison to it’s competitors in that the Nizhnechutinskoye field is comparably shallow. Therefore, Timan Oil and Gas PLC is provided with the rare opportunity to obtain oil in this geographic area by being required to delve under ground surface by a mere 1/20 of a kilometer. Traditional fields necessitate an average drill of about 22 to 24 kilometers in vertical length. Logically, the reduced time necessary for the oil accessing process provided by the shallow reserves unique to this particular region contributes to ultimately expedite Timan’s overall oil production.
The Nizhnechutinskoye field claims a fragile geographic location in close proximity to infrastructure including roads, major pipelines, railways and the local town of Ukhta. The unique location of this field makes accessing reserve oil in this area a very sensitive and intimately tuned process. Timan Oil and Gas PLC has plans to stimulate the shallow oil reserves in the Nizhnechutinskoye field by way of conventional water injection. Ultimately, the goal of this project is to increase the natural flow of oil from shallow reserves which lack sufficient reservoir pressure to encourage oil to flow at increased rates.