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Operations

The Company previously carried out oil exploration activities in the Kamchatka region of the Federation of Russia.

ESB is now focusing on Latin American Oil opportunities in countries where it has a clear strategic entrance advantage. The Company is in discussions to acquire 3 oil concessions in Latin America.

History of Company Operations in Russia:

  • At one time, the Company held 7 exploration licences on the Kamchatka Peninsula, Russia – an under-explored basin characterized as a High Risk/High Reward exploration play
  • Over 1,300 km of 2-D seismic acquired on Kamchatka licences between 2005 and 2009
  • The Company and its 50% Joint Venture Partner, Korean National Oil Company (“KNOC”) drilled two exploration wells on the Tigil Licence
    • Oyarskaya 1P Well:
      • The well was spudded on October 20, 2009 and was drilled to 3,236 metres, being abandoned on January 13, 2010.
      • The well cost was $10.4 million, and was $4.6 million under budget
    • Chernorechenskaya 1P Well:
      • The well was spudded on April 15, 2010 and was drilled to 3,300 metres, being abandoned on May 29, 2010.
      • The well cost was $6.1 million, and was $2.0 million under budget
    • Given the drilling results combined with further geologic assessment of the basin potential, EastSiberian Plc and KNOC decided to no longer pursue exploration in Kamchatka and to proceeded to relinquish all exploration licences held
    • ESB then focused on exploration and development opportunities in Russia, beyond the Kamchatka Basin, changing its name to EastSiberian Plc on September 4, 2011
      • ESB entered negotiations on a number of potential joint venture opportunities in Eastern Siberia, but appropriate funding was not obtained to advance these opportunities