Production results for 2019
Production results for 2019

PJSC Ukrnafta announces its production results for the fourth quarter and 12 months of 2019*.

Key points:

• Production of oil and condensate continued to grow (+4.7%), leading to the overall growth of oil production in Ukraine;

• Gas production in 2019 was 1.16 bn m3, up 7.5%; 

 

4Q2019

4Q2018

4Q2019/ 4Q2018, %

2019

2018

2019/ 2018, %

Production of crude oil and condensate, ktonnes

381

371

2.7

1 516

1 448

4.7

Gas production, mln m3

292

284

2.8

1 163

1 082

7.5

Production of LPG, ktonnes

29

29

0

112

110

1.8

Production Results Analysis

In 2019, Ukrnafta increased its oil and condensate production and natural gas production. The average daily production of oil and condensate increased by 4.6% to 4.15 ktonnes against 3.97 ktonnes in 2018. The average daily gas production also increased from 2.96 mln m3/day to 3.18 mln m3/day.

The company succeeded to get positive production results under of restricted investments due to works on the existing wells such as recompletions, optimization of capital and planned workovers and replacement of the outdated equipment.

The company continues introduction of remote monitoring of wells equipped with electric submersible pumps. In 2019, 84 wells were added to the system and now the system covers 196 wells.

In total, last year, Ukrnafta completed 7 hydraulic fracturing operations, 160 capital workovers and performed 57 production intensification operations and took 121 wells out of non-operation.

Thanks to these operations, the company managed to produce additional 173.4 ktonnes of oil and condensate and 138.1 million m3 of natural gas.

Mavriky Kalugin, Deputy Chairman of the Executive Board, Executive Vice President for Upstream: "This result is a credit to the whole team. I have always being amazed at the invention and innovation that our specialists apply to solving problems. For example, I know that money is not enough, but they still can meet the challenges we face every day. Thanks to that, we have been able to increase production for two consecutive years. At the same time, there will be no long-term growth without adequate levels of investment. Ukrnafta needs investments of $100 million per year. This will allow us to invest in promising projects and drill new wells".

* The company will publish its audited financial results at the end of April 2020.