Caspian International Oil Corporation ("CIOC") (OTCBB: CIOC) announced signing contracts totaling approximately $27 million for seismic data acquisition in Kazakhstan. Based on these contracts, CIOC forecasts revenues of over $19 million for calendar 2007. In addition, CIOC's backlog for 2008 has also increased, as about $12 million of these awards are to be completed next year.
CIOC provides a comprehensive array of oil field services, including seismic surveys and reservoir modeling, to oil and gas industry customers in Kazakhstan and in other countries. In addition, CIOC operates an oil field under a 20 year production license in the prolific oil-producing Caspian Sea region of western Kazakhstan. CIOC is enjoying a unique advantage to accelerate development of its oil field, in that its oil services division, with its many years of experience, is providing a number of key services that other energy companies would have to purchase.
Commenting on the awarding of the contracts, CIOC President Lindell E. (Lin) Montgomery said, "These contracts will drive our revenues this year, which we anticipate will exceed $19 million, and will provide us a strong beginning to 2008. To meet growing demand, Dank has recently added a new oil field service crew, and now has four such crews, each of about 200 men, deployed in different areas of Kazakhstan. Based on current negotiations, Dank also expects to win additional significant contracts in Kazakhstan and surrounding countries."
"At the same time, CIOC's Kor-Tazh subsidiary is rapidly moving forward on our initiatives to development our license, which is about 40 miles east of the Caspian Sea in western Kazakhstan. We plan to commence drilling early next year, and anticipate having two to three wells in production during 2008," added Mr. Montgomery.
Headquartered in Houston, TX, with operations in Almaty, Kazakhstan, CIOC operates through two primary subsidiaries: Kor-Tazh and Dank.
-- Kor-Tazh operates an oil field in Western Kazakhstan, about 40 miles from the Caspian Sea and 15 miles from the highly prolific Zhetybay oilfield. -- Dank and its subsidiary, PGD Services, provide oil field services to oil and gas industry customers in Kazakhstan and the surrounding region: services include 3-D and 2-D seismic acquisitions, data processing and interpretation, reservoir modeling and topography.
CIOC's common stock is traded on the OTC Bulletin Board under the symbol: CIOC. More information can be obtained through the Company's website at: www.cioc.us.
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