PetroNeft Resources provides an update on the re-entry and recompletion of the Lineynoye No. 1 well.

Highlights

271 barrels of oil per day production rate. Rate can be considerably improved by stimulation and pumping. 5 wells now confirmed as producers.

The Company has re-entered and recompleted the Lineynoye No. 1 well which was originally drilled in 1972. The well head was found to be in excellent condition and upon recompletion the well flowed at a stabilized rate of 271 bopd on an 8 mm choke from the Upper Jurassic J1 sandstone interval. This is natural flow to the surface without the aid of artificial lift or reservoir stimulation. The test results confirm those achieved in 1972.

This well along with L-5, L-6, L-7 and L-8 will be a production well when development of the oil field is completed. Current operations are part of the ongoing preparation for production.

Dennis Francis, Chief Executive Officer of PetroNeft Resources plc commented, "This is a great result from a well drilled in the early 1970s and suspended since that time. The test enhances our understanding of the reservoir characteristics at this location, which has in excess of 15 metres of net pay and will be an important production location."

Tags: PetroNeft Resources plc