19 Oct 2010 16:17
Regal Petroleum plc
("Regal" or the "Company")
19 October 2010
UKRAINE UPDATE
Regal, the AIM-listed oil and gas exploration and production group (symbol: RPT), provides an update on its SV-69 and SV-61 wells in Ukraine.
The SV-69 well reached planned TD of 5,420m on 29 September 2010. Gas shows were observed whilst drilling through the B21, Lower B22 and B23 B-sand intervals, and a gamma-ray log confirmed the presence of the target sands within the B21 sequence.
However, whilst pulling out of the hole to run the full open hole log suite, the bottom hole assembly became stuck. Several attempts have been made to retrieve the assembly, but, owing to hole stability problems and equipment failures, these attempts were unsuccessful. Accordingly the well has been plugged back for a side track at a later stage.
The work-over of the SV-61 well has been completed and it is intended that coiled tubing operations will commence next week to allow production testing of the lower sections of the well.
As stated in the Company's 2010 interim results announcement made on 30 September 2010, a strategic review is currently being undertaken by the Company. Whilst this review is underway and following the suspension of SV-69, all drilling operations are now on hold and the rigs are being stacked. The outcome of the review will be announced in due course.
For further information, please contact:
Regal Petroleum plc Tel: 020 7408 9500
Robert Wilde, Finance Director
Strand Hanson Limited Tel: 020 7409 3494
Simon Raggett / Rory Murphy
Citigate Dewe Rogerson Tel: 020 7638 9571
Martin Jackson / George Cazenove
Ronan McElroy, PhD Geology, SPE, Chief Technologist of Regal Petroleum plc, has reviewed and approved the technical information contained within this press release in his capacity as a qualified person, as required under the AIM Rules.
Definitions:
m metres
TD Total Depth