Kulczyk Oil Ventures Inc. reported that the North Makeevskoye-1 (NM-1) exploration well has commenced drilling. The NM-1 well, which is operated by KUB-Gas LLC (KUB-Gas), a subsidiary in which KOV has a 70 percent effective ownership interest, is the first well to be drilled on the North Makeevskoye Exploration License in Ukraine.

North Makeevskoye Exploration Well

The North Makeevskoye-1 (NM-1) exploration well is expected to take approximately 40 days to reach a planned total depth (TD) of 2,500 meters. Some drill stem tests (DSTs) may be undertaken and, if initiated, additional time may be needed before TD is reached. The NM-1 well will target a prospect with multiple reservoir units in Bashkirian, Muscovian and Serpukovian aged sediments and will be drilled with the KUB-Gas owned K-200 drilling rig. The NM-1 well is located approximately 6 miles (10 kilometers) to the northeast of the Olgovskoye Field. RPS Energy, the Company's independent engineering firm, in their 2011 year-end report dated March 20, 2012, allocated Low, Mid and High Case Prospective Resources to the NM-1 prospect, net to KOV, of 7.78 Bcf, 30.23 Bcf and 75.04 Bcf respectively.

Tags: Kulczyk Oil Ventures