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Lundin Group company, ShaMaran Petroleum (SNM:TSXV) announced their plans to issue $150 million in senior secured bonds which will be used to finance their future expenditures on the Atrush block in the Kurdistan region of Iraq.  Nordic investment bank, Pareto Securites has been appointed as financial advisor to the offering.

The Atrush block is the site of a large oil discovery made by the General Exploration Partners which includes Marathon Oil (15% interest), a subsidiary of the Abu Dhabi National Energy Company (39.9% operator interest) and the Kurdistan regional government (25% interest).  ShaMaran holds the remaining 20.1% interest in the Atrush block.  It is located directly the north of the massive Shaikan oil discovery made by Gulf Keystone in 2010.  On September 13, 2012 the partnership drilled the Atrush-2 well which produced a combined flow rate from three separate cased hole tests of more than 42,200 bopd and that additional oil resources were confirmed in two additional formations.

The partnership has been in discussions with the Kurdistan regional government for approval of a Field Development Plan while continuing to work on Phase 1 of development.  They are also planning to drill the Atrush-4 well which will target the undrilled crest of the field.

Through Lorito Holdings and Zebra Holdings alone, the Lundin Family controls over 150 million of the 810 million shares outstanding.

Read: ShaMaran Plans USD $150 Million Bond Placement