Regal Petroleum PLC Ukraine Update (3659P)

TIDMRPT

RNS Number : 3659P

Regal Petroleum PLC

10 October 2019

10 October 2019

REGAL PETROLEUM PLC

("Regal" or the "Company")

Ukraine Update

Regal Petroleum plc (AIM: RPT), the AIM-quoted oil and gas exploration and production group, announces an update of its operational activities in Ukraine, where it operates the Mekhediviska-Golotvshinska (MEX-GOL), Svyrydivske (SV) and Vasyschevskoye (VAS) gas and condensate fields.

Production

The average daily production of gas, condensate and LPG from the MEX-GOL, SV and VAS fields for the period from 1 July 2019 to 30 September 2019 was as follows:-

 
   Field            Gas             Condensate              LPG              Aggregate 
                  (MMcf/d)            (bbl/d)             (bbl/d)              boepd 
             Q3 2019   Q3 2018   Q3 2019   Q3 2018   Q3 2019   Q3 2018   Q3 2019   Q3 2018 
            --------  --------  --------  --------  --------  --------  --------  -------- 
  MEX-GOL 
   & SV       13.4      13.8      526.1     504.4     243.8     256.0     3,058     3,116 
            --------  --------  --------  --------  --------  --------  --------  -------- 
  VAS          4.2       3.3      49.0      61.0        -         -        831       682 
            --------  --------  --------  --------  --------  --------  --------  -------- 
  Total       17.6      17.1      575.1     565.4     243.8     256.0     3,889     3,798 
            --------  --------  --------  --------  --------  --------  --------  -------- 
 

Operations

At the MEX-GOL field, the MEX-119 well was completed, tested and put on production, and is currently producing at approximately 5 MMcf/d of gas and 193 bbl/d of condensate (1,070 boepd in aggregate). Hydraulic fracturing operations on the MEX-120 well have been performed and the well is now being lifted using coiled tubing. Preparation work is continuing on the SV-54 well, which is due to be spudded later this month, and planning is underway for a further well in the SV field due to be spudded next year.

At the VAS field, the processing and interpretations of the 3D seismic data, which was acquired earlier in the year, is nearing completion and planning is underway for a new well.

VAS Licence Order for Suspension

The Company does not have any further information to report in relation to the Order for suspension relating to the production licence for the VAS field since the announcements made on 12 March 2019 and 19 March 2019 respectively, other than to report that the legal proceedings issued in the Ukrainian Courts to challenge the validity of the Order are ongoing, and that the Company remains confident that it will ultimately be successful in such legal proceedings.

Cash Holdings

At 30 September 2019, the Company's cash resources were approximately $60.2 million, held as to $19.9 million equivalent in Ukrainian Hryvnia and the balance of $40.3 million equivalent in US Dollars, Pounds Sterling and Euros.

Sergii Glazunov, Chief Executive Officer, said: "We are pleased to report another good performance during the third quarter of 2019, with the excellent flow rates from the MEX-119 well providing a highlight and a significant boost to our overall production volumes going forward. During the remaining months of the year, we plan to spud the SV-54 well, and continue the planning for further wells in the SV and VAS fields."

This announcement contains inside information for the purposes of Article 7 of EU Regulation 596/2014.

For further information, please contact:

 
 Regal Petroleum plc                         Tel: [phone] 
 Chris Hopkinson, Chairman 
 Sergii Glazunov, Chief Executive Officer 
 Bruce Burrows, Finance Director 
 
 Strand Hanson Limited                       Tel: [phone] 
 Rory Murphy / Richard Tulloch 
 
 Arden Partners plc                          Tel: [phone] 
 Ruari McGirr / Dan Gee-Summons (Corporate 
  Finance) 
 Simon Johnson (Corporate Broking) 
 
 Citigate Dewe Rogerson                      Tel: [phone] 
 Louise Mason-Rutherford / Nick Hayns 
  / Elizabeth Kittle 
 

Dmitry Sazonenko, MSc Geology, MSc Petroleum Engineering, Member of AAPG, SPE and EAGE, Director of the Company, has reviewed and approved the technical information contained within this press release in his capacity as a qualified person, as required under the AIM Rules.

 
 Definitions 
 bbl/d    barrels per day 
 boepd    barrels of oil equivalent per day 
 cf       cubic feet measured at 20 degrees Celsius and 
           one atmosphere 
 MMcf/d   million cubic feet per day 
 $        US Dollars 
 

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact [e-mail] or visit www.rns.com.

END

DRLLLFIAITLAIIA

(END) Dow Jones Newswires

October 10, 2019 02:00 ET (06:00 GMT)