Joint activity restored following a final ruling by Ukraine Supreme Commercial Court
Resuming operations to increase Kuwait Energy working interest production by about 460 barrels of oil equivalent per day
Kuwait, November 5, 2012: Kuwait Energy, one of the fastest growing independent oil and gas exploration and production companies in the Middle East, today announced that its joint activity agreement (JAA 429) with "Ukrgasproduction", a subsidiary of the state-owned Naftogaz, has been restored, enabling continued development of the Bilske and Kulychykhynske gas-condensate fields located in the Poltava region in Ukraine.
The Ukraine Supreme Commercial Court made a final ruling to resume operations under the JAA 429 agreement, following over a year of court proceedings that put Kuwait Energy's interest from the gas fields on hold during that period.
Kuwait Energy owns a 25% working interest in the fields, Ukragasprodution owns a 50% interest, and the remaining 25% is owned by the operator Favorit System LLC.
Resuming operations as per JAA 429 is estimated to add 460 barrels of oil equivalent per day to Kuwait Energy's working interest production, which represents the Company's share from the restored total production from the gas fields.
Kuwait Energy's Chief Executive Officer, Sara Akbar, said, "The Supreme Commercial Court of Ukraine's ruling was just and fair. We now look forward to continue investing in the workovers of these fields to increase their hydrocarbons production to enhance Ukraine's energy supply. "
Kuwait Energy has owned working interest in the Bilske and Kulychykhynske gas-condensate fields since 2007. The Company is the operator and holds full working interests in two other fields, Bilousivska Chornukhynska (BC) which is currently producing, and North Yablunivska (NY) which is awaiting development and has exploration potential.
Kuwait Energy operates in eight countries, namely Egypt, Iraq, Yemen, Oman, Ukraine, Latvia, Russia and Pakistan. Its working interest proven and probable reserves at year end 2011 stood at 235.3 million barrels of oil equivalent and its current production has reached approximately 17,750 barrels of oil equivalent per day.
Kuwait Energy is one of the few independent oil and gas exploration and production companies operating in the Middle East,
Kuwait Energy has been profitable since inception in 2005, and currently operates in Egypt, Iraq, Yemen, Oman, Ukraine, Latvia, Russia and Pakistan,
Kuwait Energy's working interest proven and probable reserves at year end 2011 were 235.3 million barrels of oil equivalent and its current production has reached approximately 17,750 barrels of oil equivalent per day.
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For more information, visit Kuwait Energy's website at: www.kec.com.kw
Or contact: Leslie Mouawad, Mobile: +965-99981334, Email: leslie@bensirri.com
© Press Release 2012
