WesternZagros shares surge on Kurdistan oil find

Mon Nov 19, 2012 2:38pm EST
 
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CALGARY, Alberta Nov 19 (Reuters) - Shares of WesternZagros Resources Ltd surged 13 percent on Monday after Talisman Energy Inc, its partner in an exploration prospect in Iraq's Kurdistan region, announced positive drilling results.

Talisman said it found a "significant accumulation of light oil" in a well called Kurdamir-2. Its test of a geological formation known as the Oligocene flowed at stabilized rates of 3,450 barrels a day over two days, the company said.

The results confirm an oil column of at least 146 metres (479 feet), and the deepest extent will be tested by drilling a third well, Talisman said.

WesternZagros shares jumped 14 Canadian cents to C$1.25 on the TSX Venture Exchange. Talisman was up 24 Canadian cents, or 2 percent, at C$11.30 on the Toronto Stock Exchange.

Talisman and Western Zagros both have 40 percent stakes in the prospect and the Kurdistan regional government owns the remainder.

($1=$1 Canadian) (Reporting by Jeffrey Jones; Editing by Bernard Orr)