Boston, MA 08/27/2014 (wallstreetpr) – According to reports, Talisman Energy Inc. (USA) (NYSE:TLM) has decided to stick with the plan disinvestment plan of Iraqi Kurdistan assets. Although WesternZagros Resources Ltd; partner of the Canadian energy explorer recently found a significant quantity of oil near Kurdamir block in the Kurdistan region. TLM has 40% holding in the WesternZagros Resources Ltd, which takes care of Kurdamir block.
What did WesternZagros Resources Ltd have to say:
WesternZagros Resources Ltd published a report recently in which it said that the total quantity of crude oil found in the Kurdamir block could be well past 1 billion barrels. This field is expected to produce oil at a magnificent rate of 150,000 barrels per day. WesternZagros further reported that by the end of next year i.e. 2015, this field would have an initial production of more than 10,000 barrels per day. When it comes to Kurdistan Region, Talisman Energy Inc. (USA) (NYSE:TLM) has two assets in that region i.e. Topkhana block and Kurdamir asset.
Talisman Energy Inc. (USA) (NYSE:TLM) has a long terms growth plan in place; hence, it is searching for such buyers that can help it getting rid of assets that do not fit in the files. It is the main reason of company’s intentions to sell Kurdamir block even after WesternZagros has found a massive crude oil block there. TLM has been selling its gas and crude oil properties for past few years so that it can free enough capital to use in growth projects and pay off pending debt.
The road doesn’t look easy for Talisman Energy Inc. (USA) (NYSE:TLM) as there is hardly any potential customer in the region that can buy its assets. Due to weak economic conditions, all the companies are either looking to halt their operation or to cut their employees to keep the cost factor under control. Some of the major players i.e. Exxon Mobil Corp. and Chevron Corp. have already started cutting their human capital from this region while many others have shut their operations.
