LONDON (Alliance News) - Volga Gas PLC shares rose on Friday as its two gas fields in Russia reached the company's short-term production target, pumping out the equivalent of 5,700 barrels of oil per day.
Volga shares were trading up 4.6% to 34.50 pence per share on Friday morning.
The Russian gas producer, named after the region in which it operates, said the Vostochny Makarovskoye and Dobrinskoye fields are producing 750,000 cubic metres of gas and around 1,400 barrels of condensate per day.
Together, that gas and gas condensate production totals 5,700 barrels of oil equivalent per day.
"We are delighted to have achieved the important production target with the new well on the VM field. With the completion of the VM-3 well, which is already drilled but awaiting tie-back, the group is well placed to reach an eventual plateau of 1.0 million cubic metres of daily gas production from the VM and Dobrinskoye fields," said Chief Executive Andrey Zozulya.
In addition, Volga said the fourth well on the Vostochny Makarovskoye field, VM-4, now has been hooked up to production, which is steadily building up.
Volga said the VM-1, VM-2, VM-4 wells and the Dobrinskoye-22 well are currently producing a combined 755,000 cubic metres of gas per day.
The Vostochny Makarovskoye field only has those three producing wells, with the production being transported 5.0 kilometres to the gas processing facility located at the Dobrinskoye field, which also has two producing wells of its own.
By Joshua Warner; joshuawarner@alliancenews.com; @JoshAlliance
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