10th Apr 2014 11:17
LONDON (Alliance News) - JKX Oil & Gas PLC Thursday said it has successfully completed and placed on production its development well NN-80 in the Novo-Nikolaevskoye field, Ukraine
The oil and gas exploration and development company, said the well was drilled to a depth of 1,794 metres and, following clean-up, produced a stabilised rate of roughly 5.0 million cubic feet per day and 51 barrels per day of condensate, before being placed on production.
The company said the site targeted its primary upper V15 Visean sandstone reservoir and also found encouraging shows in the lower V15 sandstone at the site, which warranted deepening the well by some 50 metres to allow completion and testing of the lower reservoir at a later stage.
JKX Oil & Gas said the well was drilled based on areas identified after re-processing and interpretation of its latest 3-D seismic data over its Poltava licences.
"We continue to identify additional development drilling locations in our mature fields in Ukraine and it is most encouraging to obtain results, as in NN-80, where well performance meets or even exceeds our expectations," Chief Executive Paul Davies said in a statement.
The news comes two weeks after the company announced that pretax profit doubled in its full-year 2013 as lower costs offset a fall in gas revenues from Ukraine, but warned of the geopolitical risk of operating in the crisis-hit country.
JKX Oil & Gas shares were up 0.1% to 60.08 pence Thursday.
By Tom McIvor; [email protected]; @TomMcIvor1
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