Caspian Sunrise clears 'final major hurdle' in MJF licence upgrade

Caspian Sunrise updated the market on its flagship BNG asset on Friday, confirming that the signed protocol from the Kazakhstan Ministry of Energy has been received.

The AIM-traded firm said that was the “final major hurdle” in achieving full export status for the MJF structure, and contained confirmation of all of the significant commercial terms that were requested.

It said the final regulatory step was to receive the signed licence upgrade contract itself.

After that, the majority of the oil produced from the MJF structure would be able to be sold by reference to international, rather than domestic, prices.

“As Caspian Sunrise followers know we have been waiting some considerable time for the MJF licence upgrade,” said executive chairman Clive Carver.

“The impact of its ultimate award on the economics on the group, with the ability to fund new wells and to workover others, is expected to make a significant difference to the profitability of the group and the pace at which our assets can be further developed.

“We look forward to confirming the formal licence award in the near future.”