Baranan Block

Mountain FrontFault Zone

BarananMonocline

(Bazian extensionstructurally)

A more complex structure than Kurdamir and has fewer of the region’s reservoirs sub-surface and sealed.

Kurdamir-1 well

SW

Detachments inSilurian shales ?

Drawn by: Date:

Author:October 2011

G BanksScale: 1:100,000

Crustal thickening belowTop Basement Surface

E

Analogue for the unfavourable clay-rich Shiranish reservoir in tight Kurdistan structures(Complex folding and faulting of the Balambo Formation in Azmar Mountain, Kurdistan)

Analogue for the complex geology observed in some Kurdistan structures, and analogue for over-thickened Kolosh, Aaliji and Tanjero formations within Qara Dagh Mountain. Photo shows folding and faulting of Kolosh-like rocks in the UK (of D. Peacock)

above thrusts

Photo from D. Peacock

Analogue for structural complexity in supra-Shiranish Formation lithologies within a complex Kurdistan fold, e.g. Kurdistan Mountain Front zone (this example is Mt. Tyrwhitt, Rocky Mountains, Canada).C B

B

AA

Depth

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Line 1 Trace 1

Schematic cross section A - A’across Kurdistan, northern Iraq

WesternZagros-TLM: Kurdamir Block

- Oligceone-, Eocene- and Upper Cretaceous-aged reservoirs well-sealed - Well-imaged traps are young and unbreached - Shiranish has more carbonate and less clay (southwestwards regionally), thus more brittle and liable to fracture. - Much evidence of hydrocarbon-yielding fractures in Kurdamir-1 Shiranish Formation - Numerous, large prospects with stacked reservoirs within the PSC blocks

Traps in Garmian and Kurdamir blocks are relatively simple and follow the regional norms Qara Dagh Structure: Complex and regionally anomalous

Depth converted and interpreted seismic dipline KK-07

Highly f WesternZagros’s PSC blocks compared to other blocks in avourable hydrocarbon prospectivity of SE Kurdistan

.

WesternZagros: Garmian Block

Niko-Vast-Groundstar:Qara Dagh Block

KNOC: Sangaw South Block NE

Qara Dagh-1 well Top Shiranish = c. TD = “400m along NE flank” (Vast, 2011)

3420m

MFF

- Oligocene- and Eocene-aged reservoirs are thin, at surface, being eroded - Crest of reservoir traps not aligned below surface crest - Qara Dagh is, “An exhumed oil field: 3 seal breaching and oil dissipation events” (Dunnington, 1952) - Shiranish Formation reservoir likely more clay-rich, thus more plastic and less liable to fracture, as inferred in Vast’s press release (30.09.11)

?

Favourable Shiranish Formation envisaged in Kurdamir from well data (Shiranish Formation near Dokan, Kurdistan) D

1. Seal rocks can be much thickened by Tanjero-Aaliji-Kolosh seal in Qara Dagh.2. Top reservoir can be much deeper than prognosed if seal rock thickening is not taken into account.3. Crest of trap at reservoir depth may not be aligned below the crest of the surface structure. Unfavourably increases risks during hydrocarbon exploration and increases the time, cost and complexity of drilling.

folding and thrusting, e.g.over-thickened

MFF = Mountain Front “Fault bend fold” (Vast, 2011); Reverse-reactivated fault (several sources)

Photo C

Niko-Vast-Groundstar:Qara Dagh Block

Talisman-Murphy:Baranan Block

Notes

This cross section honours all available data and press releases.

Some geological complexity has been omitted for simplicity.

Photo D

The Foothills. Following proven plays on better quality seismic Increasing: number of reservoirs, reservoir quality, P hydrocarbon discoveries and trap preservation to SW

data. The Mountains. Some plays eroded away, others unproven. oorer quality seismic. Increasing geological complexity and risk to NE.

Sarqala-1 well

Depth converted and interpreted seismic dipline KK-19Mil Qasim-1

well

Upper Fars Units

Lower Fars and Lower Miocene Units

Oligocene and Eocene Units

Paleocene Units

Upper Cretaceous Units

Lower Cretaceous Units

Jurassic and Triassic Units

Paleozoic Units

Basement

Halocene

Bakhtiari Fm (Pliocene to Upper Miocene

Top L. Fars ( Red Beds)

Top U. Fars

Top Oligocene to Top Pila Spi

Top Aaliji

Top Shiranish (Upper Cretaceous)

Top Gulneri / Balambo (Albian)

Top Chia Gara (Jurassic)

Base Mesozoic (Speculative)

Top Basement (Speculative)

Key

Clay-rich facies (likely to have less oil-bearing fractures)

Gas condensate (contingent)

Gas condensate (prospective)

Oil (contingent)

Oil (prospective)

Oil tests and shows

Jeribe within Lower Miocene Units

10km

Light oil. Uncommercial

S Source rock

S

S

S

S

S

S

S

S

S

S

Reverse-reactivated extensional fault

Thrust fault / detachment zone

Extensional fault

G Banks

Photo B

Photo A

Oil or gas (prospective)

Oil recovered from below anticline spill point

Alyan and Alyan South Qulijan (into page) Zardi Tilako Segrdan

Upper Fars Fault Trap

The Foothills region The high mountains regionMountainFront

NE

SW

Unfavourably increases geological prognosis risks and drilling risks.

Unfavourable for predicting subsurface geology, for drilling and for recovering hydrocarbons due to fewer and more unpredictable fractures.

Lower clay content and higher carbonate content, thus more brittle and more liable to be densely fractured.Favourable for hydrocarbon prospectivity, flow rates and yields due to denser and more predictable fracturing.

A

Location of cross section relative to WZ prospects

9444 BOPD light oil produced upon testing: limited by surface equipment

Depth

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