Volga Gas plc: Drilling Update and Production Report for June 2019
Volga Gas plc, the oil and gas exploration and production group operating in the Volga Region of Russia, is pleased to provide the following update on its average production volumes for May 2019.
Drilling Update
Drilling of Uzen 4 horizontal sidetrack into the shallower Albian reservoir commenced on 16th March and completed on 1st June. The total meters drilled in the sidetrack was 1,132 meters including a 407 meters horizontal section at vertical depth of 795 meters. Initial flow testing resulted in gas and oil production, testing commenced during June and is to be continued in July for further hydrodynamic measurements.
Production Report
The average production in June 2019 was 6,190 barrels of oil equivalent per day (46.6% higher than May 2019). As Gazprom’s pipeline maintenance programme was completed in May 2019, production levels during June 2019 returned to normal planned operational levels.
Average production comprised:
June 2019 Average | May 2019 Average | Jan-June 2019 Average | |
Gas: | 21.7 mmcfd | 13.6 mmcfd | 20.0 mmcfd |
Condensate | 1,808 bpd | 1,228 bpd | 1,525 bpd |
Oil | 426 bpd | 468 bpd | 419 bpd |
LPG | 332 bpd | 257 bpd | 352 bpd |
Total | 6,190 boepd | 4,221 boepd | 5,634 boepd |
Management’s expectation for 2019 for production to average 5,900 boe per day including LPG volumes remains unchanged.
Production data is based on preliminary monthly production reports prepared for the purposes of submissions to tax authorities for Mineral Extraction Tax purposes.
Market Abuse Regulation (MAR) Disclosure
Certain information contained in this announcement would have been deemed inside information for the purposes of Article 7 of Regulation (EU) No 596/2014 until the release of this announcement.
