Executive Summary
Cadogan Petroleum PLC is an independent oil and gas exploration, development and production company with onshore gas and condensate assets in Ukraine. The Group has built a portfolio of assets, at varying stages of development, through a series of acquisitions, the first of which was in December 2005. The Group currently has significant working interests in 11 licence areas covering 14 fields in Ukraine. As at 31 January 2008, the Group had proved and probable net reserves of approximately 80.4 million barrels of oil equivalent ("MMboe"). - The Group has an active development and appraisal programme in place, with clearly identified development opportunities targeted to grow its 2P reserves and production base significantly over the near to medium term. The Groups assets are located in two of the three proven hydrocarbon basins in Ukraine, the Dnieper-Donets basin and the Carpathian basin. The Dnieper-Donets basin is the major hydrocarbon producing region of Ukraine, accounting for approximately 90 per cent. of Ukrainian production from over 120 oil and gas fields. The Carpathian basin is one of the largest hydrocarbon basins in Central Europe. The Group classifies its assets into Major Fields and Minor Fields. Each of the Major Fields is estimated to contain more than 40 MMboe of reserves, contingent resources or prospective resources. The Major Fields in eastern Ukraine consist of Pirkovskoe, Pokrovskoe and Zagoryanska, which are located in the Zinkov district to the north of Poltava. These fields lie within 20 kilometres of each other. The Major Fields in western Ukraine are Borynya and Bitlya, both part of the Bitlyanska licence area. The licence area lies in the Carpathian Basin in an area to the south of Lviv.
