The Sanduqli block borders Turkmenistan and Uzbekistan in the north and spans 2,583km². The Mazar-i-Sharif block borders Uzbekistan in the north and has an area of 2,715km².
The participating interest of Dragon Oil, Turkiye Petrolleri A.O. (TPAO) and the Ghazanfar Group in the two blocks is 40%, 40% and 20%, respectively. Dragon Oil is the operator of the Sanduqli block while the Mazar-i-Sharif block is operated by TPAO.
In November 2012, the consortium of companies including Dragon Oil, submitted the consortium’s bid for two blocks, Sanduqli and Mazar-i-Sharif, in the Afghan-Tajik Phase 1 Oil & Gas Tender. In December 2012, the consortium was selected as the winner and invited to enter into negotiations with the Afghanistan Ministry of Mines for the exploration, development and production activities in the two blocks. On 8 October 2013, the Ministry of Mines and Petroleum of Afghanistan formally signed the exploration and production sharing contracts (EPSC) for two blocks, Sanduqli and Mazar-i-Sharif, with a consortium of companies, including Dragon Oil.