Cub Energy Inc. says that KUB-Gas LLC (KUB-Gas) achieved a significant milestone in daily production -over 1 million cubic metres per day (MMcm/d) or approximately 36 million cubic feet per day (MMcf/d) after recent tie-ins. This equates to approximately 10.8 MMcf/d net production to Cub from KUB-Gas. Cub has a 30% ownership interest in KUB-Gas through its 30% shareholding of KUBGAS Holdings Limited.
Although production has increased, and will continue, Cub and its partner have decided to suspend current developmental field operations to ensure the continued safety of employees and assets during the ongoing regional conflict in eastern Ukraine. The declared ceasefire between the Ukraine government and pro-Russian separatists has not materialized, forcing a situation where KUB-Gas contractors are refusing to support continued developmental operations at this time. As such, KUB-Gas is continuing with production, but suspending developmental field operations until the situation stabilizes.