This well is designed to further test the reservoir potential in the Mailisu III oil field, about 400m south of the recent discovery at the first well in the program.

The main reservoir targets, Beds V and VII – which proved oil bearing in the first –wells are expected to be intersected by the current well at a depth of 650m.

Mailisu-III-2 is also testing gas targets at depths of 1200-1400m.

The field had produced 30 billion cubic feet of gas reserves before a landslide damaged local flowline infrastructure and subsequently stopped gas production.

“A review of the production history indicates that there is between 1 and 5 billion cubic feet remaining reserves which would require compression to be produced,” Caspian said.

“The previous customer located within the Mailisu township still has gas requirements and sales could resume should commercial reserves be proven, potentially providing up to five years supply.”

Under a farm-in agreement, Caspian has the rights to the shallow potential of some northern Fergana licences, while partner Santos focuses on the deeper potential.

As a result, the Ashvaz block is one of those northern licence areas where Caspian retains 100% rights to any oil down to 1000m.