Ukrainian Well Sidetrack Exceeds Expectations

JKX OIL & GAS plc ("JKX")

Ukrainian Well Sidetrack Exceeds Expectations

JKX Oil & Gas plc ("JKX") announces that it has successfully completed a second sidetrack of well M-166X well in the productive Devonian sandstone reservoir in the Molchanovskoye North field.

The initial 12 hour flow rate stabilised at an average of 1,710 bopd with 2.13 MMcfd gas through a 1 1/8" choke, with a flowing well head pressure of 600 psi. After further testing, a lower choke size will be chosen to optimise flow conditions and manage the reservoir.

The well was drilled to a total depth of 2,941m and penetrated 207m of reservoir along its planned horizontal trajectory. Well completion comprised 100m of pre-perforated liner below 107m of blank pipe which is designed for later recompletion. The completion was drilled 15 metres above the previous horizontal section and the TD is offset by 35 metres to minimise water coning. The three successive completions of well M-166 maximise oil recovery whilst preserving the gas cap energy in the reservoir.

M-166X is the first well in the 2013 Ukrainian drilling campaign following a seven month drilling break. The Skytop N-75 rig has now spudded Ignatovskoye well IG-132, targeting the shallower Tournaisian Carbonate reservoir in the Molchanovskoye field.

JKX Chief Executive, Dr Paul Davies, commented: "Test production from the second sidetrack of well M-166 is above our original prediction and is an excellent start to our 2013 Ukrainian drilling programme."

JKX is an exploration and production company listed on the London Stock Exchange. The Company has licence interests in Ukraine, Russia, Hungary, Slovakia and Bulgaria.

ENDS

For further information please contact:

Anthony Cardew / Lauren Foster Cardew Group 020 7930 0777