Ukrnafta’s production in September remains stable
Ukrnafta’s production in September remains stable

Based on the current data, in September 2019 PJSC Ukrnafta produced 123.6 ktonnes of oil and condensate and 94.96 mln m3 of gas, 4.8% and 4.9% up respectively against the same indicators of September 2018, and 3.7% and 5.9% less against August 2019.

Daily production rates for hydrocarbons and condensate made 4.12 ktonnes and 3.26 mln m3 for gas, having slightly decreased comparing to the previous month.

The unresolved issue of overdue tax debt limits the opportunities to invest in business development. "Ukrnafta" is able to double its oil production within 10 years. This will require systemic investments - more than $100 million a year in infrastructure modernization, drilling of new wells, and well stimulation measures. Ukrnafta currently spends twice as much on debt servicing as it does on investments: in the first six months of 2019, the company allocated UAH 1.8 bln to reserves for possible fines and penalties related to the rent and other tax arrears accumulated in the previous periods, while capital investments made UAH 749 mln

Average daily production rates

September 2019

August 2019

Monthly change, %

September 2018

Y-o-y change, %

Production of crude oil and condensate, ktonnes

4,12

4,14

-0,5

3,93

 4,9

Gas production, mln m3

3,17

3,26

-2,76

3,02

5,0