License Application

Cadogan Petroleum Plc - License Application

PR Newswire

London, July 3

Press Release 3 July 2019

This announcement is deemed to contain Inside Information as defined under the Market Abuse Regulations n. 596/2014

Cadogan Petroleum Plc(“Cadogan” or the “Company”)

Monastyretska license: application for a 20-year production license

Cadogan Petroleum plc (“Cadogan”), an independent, diversified oil & gas company listed on the main market of the London Stock Exchange, is pleased to report that its local subsidiary has filed the application for a 20-year production license for its Monastyretska license. The production license has been named Blazhiv field.

The application has been filed with the State Geological Services of Ukraine nearly five months ahead of the expiry date of the current exploration license, which is November 18, 2019 as the Company has already secured the approval of the set of documents to be attached to the application, namely:

A report from the Control Department of the State Geological Services of Ukraine that there were no breaches throughout the exploration period.

The approval of the Reserves Report by the State Commission of Reserves.

The approval of the Environmental Impact Assessment study by the Ministry of Ecology.

The Company will make a further announcement regarding the license application as and when appropriate. 

Guido Michelotti, Cadogan Petroleum CEO, commented:

“This is an important step towards stabilizing the future of our company in Ukraine. We have filed the application well ahead of the deadline in order to allow sufficient time for a seamless transition between the exploration and the production licenses”.

About

Monastyretska license produces about 460 bpd of oil from four wells. The installation of a sucker rod pump with a scraper on the recently drilled Blazh 10 well is being considered to slightly increase its oil production, while reducing the frequency of hot oil washes to dissolve paraffin deposition in the tubing.

Based on the reservoir simulation study conducted last year, Monastyretska license can produce up to 3.5 million barrels of oil with a further 2.1 million barrels coming from the implementation of a water injection scheme.

-ENDS-

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