In late 2001 and early 2002 Nations acquired 100% operated interest in the Mishovdag and Kalameddin oil fields from Moncrief Oil International.  The Mishovdag and Kalameddin fields are located in the Kura Valley in Azerbaijan.

At the time of the acquisition the existing facilities included approximately 900 wells, gathering lines, 12 oil storage tanks, a single oil-water separator.  There were 720 wells on the Mishovdag field (200 producing) and 190 wells on the Kalamedin field (80-110 producing).  Field production had a high (85%) water cut and water produced at Kalameddin was piped with the oil to Mishovdag for separation and injection.

Nations development plan included extensive well repairs, well recompletions, infill drilling, replacement of gathering pipelines and installation of water separation and reinjection facilities at Kalameddin field, reducing pumping costs and historical pipeline corrosion issues.

This development program was supported by a US$45 million debt and equity facility from the European Bank for Reconstruction and Development (EBRD).

In 2008 Nations sold the Mishovdag and Kalameddin fields to Mikhail Gutseriyev, the founder and former chief executive of Russneft.

Copyright 2015 © Benchmark Group Pte Ltd.