REG-Cadogan Petroleum: Successful Workover Campaign Increases Production

Cadogan Energy SolutionsAnnouncement

30/05/2018 07:05

Press Release 30 May 2018                                                                                            
 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”)

Successful Workover Campaign Increases Production

Cadogan Petroleum plc (“Cadogan”), an independent, oil & gas company
listed on the London Stock Exchange, is pleased to announce that the work-over
on the Blazh-Mon 3 well has been successful, resulting in doubling of its
production. This follows the two previous successful work-overs in the
three-well programme, which combined have seen oil production from the
Monastyretska licence in Western Ukraine increase fourfold. The three-well
work-over campaign was completed on time and within budget, with minimal
capital deployment.

After the successful work-over and stimulation of the Blazh 1 and Blazh 3
wells, the third well, Blazh-Mon 3, was reperforated, stimulated and is
producing 24 bpd of oil.

Overall, the work-over campaign has increased production from the
Monastyretska license to 225 bpd. This represents a 150 % increase over the
oil production at the beginning of the work-over campaign and a fourfold
increase over the stable 45 bpd which the field had been producing a year and
a half ago. With the addition of gas production from Debeslavetska,
Cadogan’s net, oil and gas combined production is currently 285 boepd.

This successful campaign has been completed without accidents and reinforces
Management’s opinion that the license has a upside potential.

The Monastyretska license is located in the L’viv region of Western Ukraine.
Oil produced from the field has a negligible gas and water content, is treated
locally and exported by truck by the buyers. The Group is the owner of the
license. The Blazh 3 and Blazh-Mon 3 wells are rented from Ukrnafta.

Commenting, Guido Michelotti, CEO of Cadogan, said:

“This result exceeds the Company’s expectations and put Cadogan on track
to deliver on its 75% increase in production. It also reinforces the value of
the Company’s strategy of creating a solid base for growth by monetizing the
value of its Ukrainian assets with minimal deployment of capital”

-ENDS-

About

Cadogan is an independent oil and gas company which operates exploration and
production licenses in Western Ukraine, conducts gas trading operations, and
provides services to E&P companies.

Ukrnafta is the largest oil producer in Ukraine. They operate 82 licences and
own a fleet of 46 drilling rigs.

For further information, please contact:

 Cadogan Petroleum plc                                                       
 Guido Michelotti             Chief Executive Officer  +380 (44) 594 5870    
 Ben Harber                   Company Secretary        +44 0207 264 4366     
                                                                             
 Cantor Fitzgerald Europe                                                    
 David Porter / Nick Tullock                           +44 (0) 20 7894 7000  



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