t
| Date | 24 Jul 2023 |
| Time | 09:00:01 |
| Category | Miscellaneous |
| ID | 9456G |
NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION, IN WHOLE OR IN PART, IN, INTO OR FROM ANY JURISDICTION WHERE TO DO SO WOULD CONSTITUTE A VIOLATION OF THE RELEVANT LAWS OF THAT JURISDICTION
THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION
FOR IMMEDIATE RELEASE
London, 24 July 2023
Gas lift system expansion
Nostrum Oil & Gas PLC (LSE: NOG) ("Nostrum" or the "Company"), an independent oil and gas company engaging in the production, development and exploration of oil and gas in the pre-Caspian Basin, today announces successful start-up of the new compressor doubling its Gas lift capacity, which helps slowing down production decline from maturing Chinarevkoye field.
As the demand for gas lift has been growing due to the majority of the producing wells requiring it to sustain production, in early 2022 Nostrum funded the addition of further compression to raise the capacity of the system from 500 to 900 thousand m3/ day for circa US$8 million. Notwithstanding the significant delays in delivery of the new compressor due to the sanctions on Russia, the Company managed to successfully complete and commence the project in line with budget and without any major HSE incidents. The initial production gains exceed management's expectations and further updates on production guidance will be provided as part of Q3 2023 operational update.
Arfan Khan, Chief Executive Officer, commented:
"We are pleased to announce the successful launch of expansion of our Gas lift system without any major HSE incidents and on target with our cost estimates, despite challenges and delays experienced due to the sanctions on Russia. As mentioned earlier, this was an important milestone for the Company to reduce the production decline from our maturing field, and we are keen to maintain the production gains, which are so far exceeding expectations."
LEI: 2138007VWEP4MM3J8B29
Further information
For further information please visit www.nostrumoilandgas.com
Further enquiries
Nostrum Oil & Gas PLC
Ulugbek Makhmadiyarov - Head of Finance
Instinctif Partners - UK
Tim McCall
Galyna Kulachek
Vivian Lai
+ 44 (0) 207 457 2020
Notifying person
Thomas Hartnett
Company Secretary
About Nostrum Oil & Gas
Nostrum Oil & Gas PLC is an independent oil and gas company currently engaging in the production, development and exploration of oil and gas in the pre-Caspian Basin. Its shares are listed on the London Stock Exchange (ticker symbol: NOG) and the Astana International Exchange (ticker symbol: NOG). The principal producing asset of Nostrum Oil & Gas PLC is the Chinarevskoye field, which is operated by Zhaikmunai LLP, a wholly-owned subsidiary of Nostrum Oil & Gas PLC and the sole holder of the subsoil use rights with respect to the development of the field.
Forward-Looking Statements
Some of the statements in this document are forward-looking. Forward-looking statements include statements regarding the intent, belief and current expectations of the Company or its officers with respect to various matters. When used in this document, the words "expects", "believes", "anticipates", "plans", "may", "will", "should" and similar expressions, and the negatives thereof, are intended to identify forward-looking statements. Such statements are not promises nor guarantees and are subject to risks and uncertainties that could cause actual outcomes to differ materially from those suggested by any such statements.
No part of this announcement constitutes, or shall be taken to constitute, an invitation or inducement to invest in the Company or any other entity, and shareholders of the Company are cautioned not to place undue reliance on the forward-looking statements. Save as required by the relevant listing rules and applicable law, the Company does not undertake to update or change any forward-looking statements to reflect events occurring after the date of this announcement.