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Calvalley Provides Operations Update at Block 9

Source: www.gulfoilandgas.com 2/5/2014, Location: Middle East

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Following recent disruptions in the Hadramout province, Calvalley has been working with the Ministry Of Oil  and other stakeholders to mitigate the impact on production operations and reviewing alternatives for the  transportation of crude oil production.  

Calvalley has received an approval from the Ministry and the operator of Block 18 to access an alternative  crude oil transfer location at Block 18 which markets crude oil through the Ras Isa terminal on the west coast  of Yemen, pending the restoration of access to the transfer facilities to the Ash Shihr terminal. 

The facilities at Block 18, which were used by the Company prior to the commissioning of the truck off?loading  facility at Block 51, have been recently refurbished and tested to facilitate the transfer of crude oil production.  The Company has started trucking crude oil from its storage tanks to the facility at Block 18, and is planning  to resume production operations as crude oil storage capacity becomes available.  

The Company has completed the drilling of the appraisal well at Ras Nowmah South and has moved the drilling  rig to the Ras Nowmah 7 appraisal well location. Completion of the Ras Nowmah South well has been deferred  until crude oil storage capacity is available and the drilling of the Ras Nowmah 7 appraisal well has been  suspended due to constraints on service companies to mobilize equipment in the area.  

Calvalley is an international oil and gas company, with offices in Calgary, Alberta, Canada, that operates its  50% working interest in Block 9 of the Masila Basin, in The Republic of Yemen.

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