REGAL PETROLEUM REPORTS 65% PRODUCTION INCREASE IN UKRAINE

Regal Petroleum advised that the aggregate rate of production from the MEX-GOL, SV and VAS fields at the end of 2017 was approximately 2,800 barrels of oil equivalent per day (boepd). This compares with an aggregate production rate of approximately 1,700 boepd at the end of 2016, which represents an increase of nearly 65% over the year.
The average daily production of gas, condensate and LPG from the MEX-GOL and SV fields for the period from 1 October 2017 to 31 December 2017 was 276,089 m3 /d of gas, 54 m3 /d of condensate and 30 m3 /d of LPG (2,187 boepd in aggregate) (Q4 2016: 140,818 m3 /d of gas, 38 m3 /d of condensate and 19 m3 /d of LPG (1,196 boepd in aggregate)). Average daily production of gas and condensate from the VAS field for the period from 1 October 2017 to 31 December 2017 was 87,631 m3 /d of gas and 6.4 m3 /d of condensate (616 boepd in aggregate) (Q4 2016: 86,801 m3 /d of gas and 7.0 m3 /d of condensate (604 boepd in aggregate)).
In November 2017, the Company entered into an agreement with NJSC Ukrnafta, the partially Stateowned oil and gas producer, relating to the SV-12 well, which is a suspended well owned by NJSC Ukrnafta located within the Company’s SV licence area. Under the agreement, the Company agreed to investigate the re-activation of this well, which may include a workover of the well, and, if this action is successful, the well will be brought back into production, with the gas and condensate produced from the well being sold under an equal net profit sharing arrangement between the Company and NJSC Ukrnafta. Initial work has commenced on the well to ascertain which operations are likely to be required to re-activate the well. At the VAS field, mobilisation of equipment for the acquisition of 3D seismic has commenced, and preparation for the VAS-10 well is well underway, with spudding of this well expected in mid-February 2018.
Regal Petroleum, headquartered in London) is an independent oil and gas exploration and production company with three gas and condensate fields in north-eastern Ukraine. These fields comprise the Mekhediviska-Golotvschinska (MEX-GOL) and Svyrydivske (SV) fields, which are adjacent and operated and managed as one field, and the Vasyschevskoye (VAS) field. (Source: Regal Petroleum)