JKX.L Regulatory News (JKX)

29 Jun 2006 11:32

JKX Oil & Gas PLC29 June 2006 JKX OIL & GAS plc ANNOUNCES GAS PIPELINE TIE-IN APPROVAL JKX Oil & Gas plc ("JKX") announces that it has received formal approval totie-in its production facilities at Poltava, Ukraine to the Soyuz main gastrunkline. It is estimated that construction/tie-in of the pipeline spur andprocurement and installation of the required metering package will be completedin the first half of 2007 at a cost of $5 million. The Company is currently restricted in delivery of gas to market from itsPoltava field facilities to approximately 36 million cubic feet of gas per day.It has been seeking over the last two years to secure additional gas exportcapacity from its licences and has engineered alternative field export routesincluding tieing-in to the 56-inch diameter Soyuz pipeline. The Soyuz pipeline is one of the main gas trunkline systems delivering gas fromRussia to western Europe. The line traverses the Company's licensesapproximately 2.5 km from its field facilities. Tie-in to this major trunklinewill effectively remove any ceiling on gas delivery from the Company's Poltavalicences. JKX Oil & Gas plc is an oil and gas exploration and production company listed onthe London Stock Exchange. The company has license interests in Ukraine,Georgia, Italy, Bulgaria, Turkey and the United States. END For further information please contact: Anthony Cardew/Sofia Rehman Cardew Group 020 7930 0777 This information is provided by RNS The company news service from the London Stock Exchange