Green Dragon Gas Ltd. is pleased to announce an operations update, following the end of the Third Quarter. Green Dragon is committed to being a focused upstream (E&P) company, concentrating on its core asset value proposition over six blocks, one in production and five in exploration.
◾ Gas production for the first nine months of 2013 was 2.05 Bcf (58.17 million cubic meters), a 60.15% yoy increase (1.28 Bcf for the first nine months of 2012).
◾ Gas production in Q3 2013 was 711 MMcf (20.15 million cubic meters), representing a 2% increase on Q2 2013 (697MMcf /19.8 million cubic meters) and a 10% increase over Q1 2013 (644MMcf/18.3 million cubic meters).
◾ The gas production figures provided above represent total production from all wells drilled, including those wells tied in and contributing to sales volumes and those in the process of being tied in to distribution infrastructure. As such, of the total gas produced:
◾ 2.5% is sold via the Company’s integrated production facility (IPF) to Greka CNG retail stations (52 MMcf / 1.48 million cubic meters);
◾ 7.8% is sold via the IPF direct to industrial clients (160 MMcf / 4.56 million cubic meters);
◾ 27.3% is sold via the Company’s PNG pipeline connecting to West-East Pipeline (560 MMcf / 15.86 million cubic meters); and
◾ the balance is either being used to generate electricity at the IPF or being flared (where wells are not tied in).