(Alliance News) - JKX Oil & Gas PLC on Monday reported its total average 2020 production at 10,238 barrels of oil per day, a 5% decrease from 10,748 barrels in 2019 despite "significantly" reduced drilling and workover activity last year.
The Ukraine-focused energy firm said its total average production in the fourth quarter to the end of December was 9,825 barrels per day, down from 10,245 barrels in the third quarter.
JKX said its total average 2020 production in Ukraine stood at 4,849 barrels of oil per day, a 13% decrease from 2019. Its total average production in the fourth quarter was 4,351 barrels per day, down 8% from 4,727 barrels in the third quarter.
Shares in JKX were down 12% at 32.90 pence in London on Monday.
In Ukraine, JKX said drilling of the NN75 sidetrack in the Novo-Nikolaevske field began on December 15 and reached a total depth of 1,943 metres on December 28.
Another well, IG146, was completed to the Devonian in Ignativske during the fourth quarter and encountered 2.6 metres of logged net hydrocarbon bearing thickness. After initially testing at an oil rate of 497 barrels of oil per day and a gas rate of 35 million cubic metres per day in November, the rate declined and the well is currently producing six million cubic metres per day of gas, or 35 barrels of oil per day, JKX added.
JKX said it has USD24.5 million of net cash and cash equivalents, and oil and gas inventory of approximately USD2.2 million in value, while its Ukrainian subsidiary held 2.7 million cubic metres of gas and 32.6 thousand barrels of oil inventory available for immediate sale, both at December 31.
"We continue to monitor the impact of Covid-19 developments on our industry, operations, staff and contractors and are confident about the safety measures we put in place," said JKX.
By Zoe Wickens; zoewickens@alliancenews.com
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