10th Feb 2020 11:58
Alliance News) - Cadogan Petroleum PLC said Monday 2019 production rose 15% year-on-year despite a 30-day shutdown of Blazhiv oil field in west Ukraine.
The Kiev, Ukraine based oil & gas firm said net production for 2019 averaged 288 barrels of oil equivalent per day, which is 15% above 250 barrels average production in 2018 and 86% above average production in 2017.
The increase in production was achieved despite a 30-day shutdown of Blazhiv oil field, formerly Monastyrestka license, in November and December 2019 and the shutdown of Blazhiv-3 and Blazhiv-Monastyrets-3 wells, due to the expiry of the lease contract.
"The extension of this contract is currently being negotiated and is expected to be finalised soon," the company said.
Cadogan said production for 2019 was sold at an average price of USD47 barrel of oil equivalent, approximately 10% lower than USD51.3 per barrel of oil equivalent in 2018, "in line with lower average global crude prices."
The company said it has successfully converted Monastyrestksa exploration license into the 20-year Blazhiv production license in 2019, while the process for the Bitlyanska 20-year exploration and production license is at the final stage.
"The company has already secured all intermediary approvals, including those from the regional authorities and is expecting the decision of the Licensing Authority of Ukraine," Cadogan said.
Cadogan shares were untraded in London on Monday, last traded at 4.80 pence each.
By Loreta Juodagalvyte; [email protected]
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