Kurdistan
Location: Kurdistan (northern Iraq)
Area: 492 km2
Sterling Equity: 100% (Operator)
The Sangaw North Block is held under a Production Sharing Contract (PSC) and is situated in the prolific foreland of the Zagros fold-thrust belt. The Block, which covers an area of 492 km2 is located approximately 140 km south east of Erbil and 50km south west of Suleimaniah. It lies in a highly prospective area around 50km south east of the giant Kirkuk oil field and on trend with the major Taq Taq and Chemchemal oil and gas condensate discoveries. The Block itself contains a large surface anticline with the possibility of multiple reservoir targets and surface oil seeps, in common with many existing fields in the area, providing strong encouragement for exploration success.
The terms of the PSC are in accordance with the terms and conditions published by the KRG. The PSC has an initial three-year exploration period during which Sterling plans to acquire some 200km of 2D seismic and drill at least one exploration well. The Company will start work immediately, having already established an office in Erbil in early 2007. Sterling’s signature of the PSC, together with other recently signed agreements with the KRG, brings the number of international oil companies working in Kurdistan to 25 as of November 2007.
