Citation Resources Limited (ASX Code: CTR) is an ASX-listed energy and exploration companyCitation, which holds a 60% interest in oil production and exploration assets in Guatemala.
Through funding of the Atzam #4 appraisal well which is now on production, and the decision to drill the Atzam #5 development well, the Company acquired a 60% interest in Latin American Resources which owns and operates the licence covering the Atzam and Tortugas Oil Projects in Guatemala. The Atzam #5 well is due to commence drilling in December 2013
During 2012 and 2013 the Company has funded, together with financing assistance from its major shareholder Range Resources Ltd (Range), the operations of LAR. The financing provided to LAR was used for the drilling, testing and operating activities of the Atzam #4 well and related operations. Following the production success of the Atzam #4 well and satisfying the LAR funding obligations under the earn-in agreement, the Company now holds a direct 60% equity interest in LAR.
The Project consists of Block 1-2005 in the South Peten Basin in Guatemala (Guatemalan Block). The Guatemalan Block has TSX certified 51-101 certified reserves identifying proved plus probable (P1 and P2) reserve estimates of 2.3 MMBBL, with significant exploration upside potential. In addition the Guatemala Block has had significant previous exploration. The Project and operational infrastructure are owned by LAR, which includes a 100 man camp, drilling rigs and an airstrip.