LONDON (Alliance News) - Shares in Regal Petroleum PLC on Tuesday rose as the company reported significantly increased reserves from two gas and condensate fields in Ukraine.
Shares were 25% higher on Tuesday, trading at 22.78 pence each.
Regal had commissioned petroleum consultants DeGolyer & MacNaughton to carry out an assessment of the reserves at its Mekhediviska-Golotvshinska and Svyrydivske fields.
The last estimate was carried out in 2013, and gave combined proved reserves of 1.9 million barrels of oil equivalent, as well as proved and probable reserves of 11.7 million barrels of oil equivalent.
The new estimate, as of the end of 2017, gives remaining reserves of 27.8 million barrels of oil equivalent and proved and probable reserves of 50 million barrels of oil equivalent.
Regal's contingent resources at the fields on a 1C basis are 3.8 million barrels of oil equivalent, at 2C 9.6 million barrels of oil equivalent, and 25.3 million barrels of oil equivalent at 3C.
The results, Regal said, take into account studies of the fields since the last estimate. The fields contain two main reservoirs, from the Carboniferous Visean and Tournasian periods.
Chief Executive Sergii Glazunov said: "Based on this independent assessment, a significant volume of remaining reserves has been estimated in the MEX-GOL and SV fields."
"Among other data, the report takes into consideration the positive outcomes of the latest drilling and workover projects, derived from the successful implementation of efficient drilling and operations technologies," Glazunov continued.
"This, in turn, makes us optimistic about the future prospects for the fields. In light of this, we are continuing with further work aimed at providing a comprehensive understanding of our reservoirs, so as to continue to improve the level of confidence in our field development programme."
