WesternZagros is set to drill into two formations that hold much promise for containing vast quantities of oil in IRAQ. The Kurdamir and Garmian Formations near the Kurdistan region of Iraq could turn this $1 per share exploration company into a exciting play for investors understanding the complexities of the political and exploration risks in this emerging part of the world.
In the above .pdf you will see The 4/4 wells drilled to date have been successful. This is due to exploration technologies not utilized in Iraq like 3D seismic and geophysical mapping that reduces dry hole risk considerably as evidenced by the results so far of 100% oil discoveries on the last 4 wells.
40% working interest means WZR earns 40% of what they find and they have to pony up 40% of the exploration,drilling costs. They have some decent partners like Talisman and the Regional Governments.
slides 21-23 highlight the potential of this opportunity, in barrel per day, and reserves, this play has some stellar potential. the 3d seismic to be shot on the Kurdamir could prove up some new targets, and new exploration wells should confirm what these geoscientists already believe is lying beneath. until its producing it's not going to get much attention but you don't make profits in this kind of play, waiting for the certainty. Time horizon, you want to make an entry before they drill again, you want to get in by Q2-3 and monitor the progress, take profit upon a success and let the remainder ride for the next 2-3 years as this is a situation that will get more exciting as the new seismic is interpreted.
Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.