PetroNeft Resources plc, owner and operator of Licence 61, Tomsk Oblast, Russian Federation, provides a highly positive update on its operational activities.
Highlights
• New oil discovery from successful drilling on Korchegskaya
• Successful delineation well on West Lineynoye
• Board decision to sanction the development of the Lineynoye and West Lineynoye oil fields
• Phased Plan of Development to production on Licence 61 commencing with the northern oil fields
• Commercial production of 3,000 to 5,000 bopd targeted for end 2009
• Recent Cretaceous discovery on Block 80 by Imperial Energy highly positive – structure appears to extend into PetroNeft licence. Drilling planned this winter.
• Ongoing exploration and delineation drilling through 2009
• Committed to broadening portfolio: constantly evaluating potential acquisitions
• Ongoing corporate development: building a team to manage a considerably expanded exploration, development and production Company
Dennis Francis, Chief Executive Officer of PetroNeft Resources plc commented:
“Our operational activities over the last three years have significantly enhanced the reserves, future potential and value of Licence 61 and I believe we can be very proud of our achievements to date.
This success has directly led to the first phase of field development, designed to turn PetroNeft into a commercially producing E&P Company by the end of 2009. This is a significant milestone for both the management and shareholders of the Company.
Whilst there is still much work to be done to meet the Company’s target of year-round pipeline production in the second half of 2009, we have a very capable and dedicated work force and a co-operative local administration that will help us to meet this goal.
We also remain focused on building further value through exploration of current targets and evaluating potential acquisitions. We are excited by the opportunity provided by the recent Cretaceous discovery in the adjacent block 80. We believe that the structure extends into our licence area and we have defined a dual objective, Cretaceous and Upper Jurassic, prospect for drilling in 2009.”