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Tethys receives 15-year Kyzyloi contract area extension onshore Kazakhstan

23rd January 2015

Tethys Petroleum Limited has announced that its wholly-owned Kazakh subsidiary, TethysAralGaz LLP (TAG), has received permission from the Ministry of Energy of the Republic of Kazakhstan to extend the Kyzyloi Gas Production Contract for another 15 years, from June 14, 2014 to December 31, 2029

Tethys Petroleum Limited has announced that its wholly-owned Kazakh subsidiary, TethysAralGaz LLP (TAG), has received permission from the Ministry of Energy of the Republic of Kazakhstan to extend the Kyzyloi Gas Production Contract for another 15 years, from June 14, 2014 to December 31, 2029
The Kyzyloi contract area has been increased by 56 per cent to 449 square kilometres and now encompasses a larger gas bearing area including the AKK05 well (to be worked over later in Q1 2015) and also the AKK08 and AKK10 successful gas wells

The ministry granted this contract extension following the Kazakh State Reserves Committee's (GKZ) approval of the new State Reserves for Kyzyloi previously announced in May 2014.

The Kyzyloi contract area has been increased by 56 per cent to 449 square kilometres and now encompasses a larger gas bearing area including the AKK05 well (to be worked over later in Q1 2015) and also the AKK08 and AKK10 successful gas wells.

"This very important gas production contract extension follows on from the Akkulka Exploration Contract Extension earlier this month, and is another manifestation of the good working relationship that the company has worked hard to build up with the Kazakh authorities,” said John Bell, Tethys executive chairman.

“We see very good growth potential in the gas business over next few years both in terms of pricing and volume and this approval of Kyzyloi for an additional 15 years provides a solid production base from which to achieve this growth."

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