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Saturday, 30 August, 2008, 12:10 GMT | more prices >>

Regal rolls up its sleeves in Ukraine

By Upstream staff

AIM-listed player Regal Petroleum is pushing ahead with plans for its Ukrainian concessions, saying that seismic work was under way and adding it is in talks with drilling contractors.

Regal is finalising a letter of intent with Saipem for the provision of two land rigs and one workover rig for use at the MekhediviskaGolotvschinska and Svyrydivske gas and condensate fields,

Meanwhile, it has signed two letters of intent with Ukrainian contractor Region Ltd for one land rig and one workover rig for use at the MEX-GOL and SV fields.

A seismic survey of the SV field kicked off last month and is about 30% complete, Regal said. The survey should take two to three months to complete.

Regal added that drilling of the MEX-103 well, which is the first new well on the MEX-GOL field since 2004, is continuing and has reached a depth of about 4150 metres.

The drilling is being carried out by CNGG under a contract signed in July last year and the well, which has a target depth of 5200 metres, should be completed by the middle of the year.

MEX-103 is the first stage in the full-field development programme for the MEX-GOL and SV fields, which are believed to hold 169 million barrels of oil equivalent, based on a reserves audit conducted by Ryder Scott in 2005.

Regal is preparing sites and applying for permits for more wells which are planned for drilling once the further rigs are available in Ukraine.