VOG.L Regulatory News (VOG)

8 Mar 2006 07:02

Victoria Oil & Gas PLC08 March 2006 Victoria Oil & Gas Plc 8 March 2006 First Oil Production from Kemerkol Oil Project, Kazakhstan • First oil production achieved following re-entry of Well 20 at Kemerkol oil project in Kazakhstan • Further re-entry and drilling operations continuing on schedule with target production level of 4,400 barrels of oil per day planned within three years The Board of Victoria Oil & Gas Plc ("Victoria" or "the Company"), the oil andgas development company focused in the Former Soviet Union, today announcesfirst oil production from its wholly owned Kemerkol oil project in the AtyrauOblast of Kazakhstan. First oil production has been achieved at Well 20 following successful re-entryand re-completion operations. At present, the well is producing 202 barrels ofoil per day from perforations in the Triassic horizon (between depth intervalsof 1,185 metres - 1,194 metres) with no water and only trace gas. At the time ofthis announcement, cumulative production was approximately 545 barrels and thewell will be closely monitored over the next few weeks to ensure production ratestabilisation. Re-entry and re-completion operations on further shut-in wells are also onschedule and at an advanced stage. Production from these wells will besupplemented during the year with the drilling of new wells and productionlevels of 1,800 barrels per day by the end of 2006 and 4,400 barrels per daywithin three years are targeted. Commenting, Chairman Kevin Foo said, "This is an important day for Victoria. Ourcongratulations go to Bill Kelleher and his team for delivering first productionfrom Kemerkol." Kevin Foo / George Donne Jamie Cumming / Tracy MackenzieVictoria Oil & Gas Plc Bell Lawrie+44 (0)207 921 8820 +44 (0)141 314 8103 +44 (0)141 314 8220Leesa Peters/ Laurence ReadConduit PR+44 (0)207 429 6605+44 (0)7979 955 923 This information is provided by RNS The company news service from the London Stock Exchange