Volga Gas PLC PRODUCTION REPORT FOR DECEMBER 2016 (1770T)

TIDMVGAS

RNS Number : 1770T

Volga Gas PLC

03 January 2017

3 January 2017

Volga Gas plc

("Volga Gas", the "Company" or the "Group")

PRODUCTION REPORT FOR DECEMBER 2016

Volga Gas plc, the oil and gas exploration and production group operating in the Volga Region of Russia, is pleased to announce its average production volumes for December 2016 and for the full year 2016.

In December 2016, gas processing capacity returned to its normal level after a temporary reduction due to the testing of new chemicals for gas sweetening and for scheduled maintenance. The average production in December 2016 was the highest in the Group's history of 8,060 barrels of oil equivalent per day (48% higher than November 2016) and compares to an average annual production of 3,278 boepd for 2015.

Average production comprised:

 
              December 2016     FY 2016       FY 2015 
                 average        average       average 
 Gas:          32.2 mmcfd     25.5 mmcfd    12.5 mmcfd 
 Condensate     1,799 bpd      1,557 bpd      784 bpd 
 Oil             893 bpd        706 bpd       418 bpd 
 Total         8,060 boepd    6,507 boepd   3,278 boepd 
 

Production data is based on monthly production reports submitted to tax authorities for Mineral Extraction Tax purposes.

For further information, please contact:

 
 Volga Gas plc 
                                               +7 (903) 385 
                                                9889 
 Andrey Zozulya, Chief Executive                +7 (905) 381 
  Officer                                       4377 
  Vadim Son, Chief Financial Officer            +44 (0)7824 
  Tony Alves, Investor Relations Consultant     884 342 
 
                                               [phone] 
 S.P. Angel Corporate Finance LLP               0470 
 Richard Redmayne, Richard Morrison, 
  Richard Hail 
 
                                               [phone] 
 FTI Consulting                                 1000 
 Edward Westropp, Alex Beagley 
 

Editors' notes:

The information contained in this announcement has been reviewed and verified by Mr. Andrey Zozulya, Chief Executive Officer of Volga Gas plc, for the purposes of the Guidance Note for Mining, Oil and Gas companies issued by the London Stock Exchange in June 2009. Mr. Andrey Zozulya holds a degree in Geophysics and Engineering from the Groznensky Oil & Gas Institute and is a member of the Society of Petroleum Engineers.

This announcement contains inside information as defined in EU Regulation No. 596/2014 and is in accordance with the Company's obligations under Article 17 of that Regulation.

The Company records production in metric tonnes (for oil and condensate) and in cubic metres (for gas). Conversions from metric to standard oil field units are used for illustrative purposes only and are based on the Company's estimate of the applicable ratios. The ratios used are 7.833 barrels per tonne for oil and 8.75 barrels per tonne for condensate. Gas volumes are translated using 35.3 cubic feet per cubic metre and 6,000 cubic feet per barrel of oil equivalent.

Glossary:

   bpd              Barrels per day 
   boepd          Barrels of oil equivalent per day 
   mmcfd         Millions of standard cubic feet per day 

This information is provided by RNS

The company news service from the London Stock Exchange

END

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January 03, 2017 04:51 ET (09:51 GMT)