RAK Petroleum gets onshore drilling deal

Dubai: The Government of Ras Al Khaimah announced on Wednesday it had finalised an agreement with RAK Petroleum Al Khaleej Limited, a wholly-owned subsidiary of RAK Petroleum PCL, granting it a 25-year petroleum concession.

"We are pleased that a company that bears the name Ras Al Khaimah will have the opportunity to explore and hopefully develop the hydrocarbon resources of our emirate," said Shaikh Saud Bin Saqr Al Qasimi, Crown Prince and Deputy Ruler of Ras Al Khaimah.

The new agreement covers 850 square kilometres on the onshore RAK coastal plain and near the shore transition zone.

RAK Petroleum intends to target lower cretaceous carbonate reservoirs in deep foreland basin structures that follow a structural trend parallel to the fold belt, as well as palaeozoic reservoirs in the northern part of the concession area.

The company plans to commence a fast-track, seismic campaign in 2009.

"We believe that Ras Al Khaimah is both under-explored and prospective. This concession is a natural addition to our portfolio of regional assets," said Bijan Mossavar-Rahmani, chairman of the executive committee and managing director of RAK Petro-leum. The company currently has interests in four blocks in the UAE and five in Oman.

The new agreement covers an area of 850 square kilometres on the onshore RAK coastal plain and near the shore transition zone.