News

August 25, 2009

Successful Development Drilling Ensures 2009 Production Hike For Volga Gas

Shares in AIM-quoted Volga Gas ticked up in morning trading on Tuesday after the company announced that shallow development drilling on its Karpenskiy Licence in the Volga region of Russia is set to yield a 36 per cent increase in production between now and the end of the year. 2009 has been a year of significant production growth for the company, with sustainable output of over 2,500 barrels per day forecast for Q4, an 88 per cent increase on the production levels reported in January 2009.

The AIM company currently has three wells producing on the shallow supra-salt Uzenskaya field, which is home to about 13.9 million barrels of light oil and produces from a high quality Cretaceous sandstone reservoir.  The three production wells, Uz-3, Uz-4 and Uz-5, all flowed at rates of between 2,220 and over 4,000 bpd during open hole testing but have been put on production at choked back rates to help with reservoir management.  Last month the wells were pumping over 1,600 bpd,...