Romania Update

RNS Number : 1910N

Regal Petroleum PLC

07 June 2010

 



Regal Petroleum Plc

("Regal")

7 June 2010

ROMANIA UPDATE

Regal, the AIM-listed oil and gas exploration and production group (symbol: RPT), provides an update, published by Aurelian Oil & Gas Plc ("Aurelian" or the "Company"), on the Climauti-1 well on the Suceava Block in Romania, in which Regal holds a non-operated 50% interest.

Aurelian Announcement dated 7 June 2010:-

"Romania Operations Update

Climauti-1 well encounters gas bearing reservoir in Suceava Block

Aurelian is pleased to announce that the Climauti-1 well has encountered a gas bearing reservoir in the Suceava Block in Romania. The reservoir, which should yield approximately 2bcf gross of recoverable gas reserves and increase the Company's  production by approximately 18% over its expected seven year life, is on the same interval as the producing Vicsani-1 well 3km to the south west.  The gas column which was encountered in Sarmatian sands at a depth of 456.5 - 463.6m, 7.1m gross, 6.3m net, will be perforated and completed for production.  The rig will then demobilise and a flow test will be carried out in the coming weeks when test equipment is freed from Voitinel-1. The well will be tied into the Bilca gas plant and production is expected to commence in Q4 2010.

Interests in the Suceava Block are Aurelian Oil & Gas (Romania) SRL 50%, Regal Petroleum PLC 50%.

Rowen Bainbridge, Chief Executive, commented:

"We are pleased that our activities in Romania continue to progress in line with the plans we outlined earlier in the year. We are also encouraged that early production and cashflow is expected from this reservoir and this will boost the Company's forecast production by 18% over the life of the well. 

In the coming weeks I look forward to providing you with further updates on the testing of this well and the testing of the 1400 sand in our Voitinel-1 discovery."

The technical information and opinions contained in this announcement have been reviewed by Roy Hartley B.Sc (Hons) (Imperial College), FEI, FGS, C. Eng, Aurelian's Operations Director who has 40 years of experience in the oil exploration and production industry. He has consented to the inclusion herein of such technical information and opinions.

GLOSSARY

bcf	billon cubic feet of gas
M	metres"

For further information, please contact:

Regal Petroleum plc                Tel: [phone] 

David J Greer, CEO

Strand Hanson Limited            Tel: [phone]

Simon Raggett / Rory Murphy

Mirabaud Securities                Tel: [phone]

Peter Krens / Pav Sanghera

Citigate Dewe Rogerson          Tel: [phone]

Martin Jackson / George Cazenove

 

END

 

 

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