JKX to restart in-fill drilling program on Ukrainian production licences

JKX Oil & Gas plc., an oil and gas exploration and production company, has announced that it is restarting its in-field drilling and appraisal program on the Novo-Nikolaevskoye complex in March 2013.

The Skytop N75 rig will initially be mobilized to the Molchanovskoye field for a horizontal recompletion of the M-166 Devonian sandstone oil producing well. The Skytop rig is scheduled to move to the Elizavetovskoye licence in June 2013 to spud the first of a planned 5-well development drilling program. Drilling is also planned in 2013 on the Zaplavskoye license, following completion of processing and interpretation of the 2012 additional 3D seismic data.

The Skytop rig is currently completing a one-well program for another Ukrainian operator which is expected to complete later this month. The rig, which has been on long-term contract to the Company's wholly-owned subsidiary Poltava Petroleum Company ("PPC") since 2004, was contracted out in late third quarter of 2012 as part of the Company's cost management program. More than 50% of the rig personnel are PPC staff.

JKX Chief Executive, Dr Paul Davies, commented: "We are pleased to recommence the in-fill drilling program on our core Ukrainian production licenses, the production from which currently underpins our Group cash flow."