16 May 2017 07:00
16 May 2017
JKX Oil & Gas plc
("JKX", the "Company" or the "Group")
April 2017 Monthly Production Report
| April 2017 | March 2017 | % Change | 4 months to April 2017 | 4 months to April 2016 | % Change |
Total production (boepd1) | 7,800 | 8,405 | (7.2)% | 9,027 | 10,356 | (12.8)% |
Ukraine (boepd) | 3,561 | 3,534 | 0.8% | 3,828 | 4,030 | (5.0)% |
- Average gas production (MMcfd2) | 17.0 | 17.3 | (1.7)% | 18.7 | 19.2 | (2.6)% |
- Average oil and condensate production (boepd) | 727 | 650 | 11.8% | 720 | 827 | (12.9)% |
Russia (boepd) | 4,023 | 4,568 | (11.9)% | 4,996 | 6,326 | (21.0)% |
- Average gas production (MMcfd) | 23.8 | 27.1 | (12.2)% | 29.6 | 37.5 | (21.1)% |
- Average condensate production (boepd) | 51 | 48 | 6.3% | 55 | 68 | (19.1)% |
Hungary (boepd) | 216 | 303 | (28.7)% | 203 | - | 100% |
- Average gas production (MMcfd) | 1.2 | 1.7 | (29.4)% | 1.1 | - | 100% |
- Average condensate production (boepd) | 10 | 22 | (54.5)% | 14 | - | 100% |
· Average Group production for April 2017 was 7,800 boepd, a 7.2% month-on-month decrease and a 12.8% year-on-year decrease for the first four months of the year, largely due to a planned workover in Russia.
· In Ukraine, gas production was stable as natural decline was offset by well EM53 on our Elyzavetivske field which came online on 22nd of April at 1.5 MMscf/d before stabilising at 1.3 MMscf/d on a 48/64th" choke. The well is currently being tested but should provide a material contribution to production in May. Oil production increases were mainly attributed to the removal of a blockage in M153 in the Movchanivske field. The well came online on the 7th April, having been offline for all of March, averaging 93 boepd for the remainder of the month.
· In the Rudenkivske field, 6R had 17 metres of perforations added in the final days of April. Initial production has been encouraging with a rate of 8 MMscf/d on a 48/64th" choke with a WHP3 of 1540 psig, before declining to 5.4 MMscf/d on the same choke with a WHP of 840 psig after 4 days. This well will make a sizable contribution to our May production volumes.
· In Russia, gas production is lower due to the shut-in of Well 25 due to a planned workover. At the end of April there were delays in the workover due to a fire on the workover rig. The fire was limited to the rig itself and was promptly put out by the rig crew without any injuries. The rig operator is currently sourcing the replacement parts but despite the unplanned delay, we do not expect a material impact of this event on revenues and production. We will provide an update in the next month's production report.
1boepd - Barrels of oil equivalent per day
2MMcfd - Million cubic feet per day
3WHP - Well head pressure
This announcement contains inside information as defined in EU Regulation No. 596/2014 and is in accordance with the Company's obligations under Article 17 of that Regulation.
ENDS
JKX Oil & Gas plc +44 (0) 20 7323 4464
Russell Hoare, Chief Financial Officer
Stockdale Securities +44 (0) 20 7601 6100
Robert Finlay, Daniel Harris
EM Communications +44 (0) 20 3709 5711
Stuart Leasor, Jeroen van de Crommenacker