Business
Results for the year ended 31
Results for the year ended 31.
About this update from Nostrum Oil & Gas Plc
[{"type":"text","content":"\n RNS Number : 9177X Zhaikmunai LP 30 June 2008 \n \n30th June 2008\n\n\nResults for the year ended 31st December 2007\n\nThe Zhaikmunai Group is an independent oil and gas enterprise operating principally in northwestern Kazakhstan and is engaged in the exploration, production and sale of crude oil and gas condensate.\n\n--- From Exploration to Production ---\n\n2007 was the year in which Zhaikmunai successfully moved from the exploration phase to the production phase. Commercial production started January 1, 2007 as the partnership was granted a production permit relating to the northern part of the Tournasian reservoir in the Chinarevskoye field\n\nFinancial highlights\n\n\n\nCash flow from investing activities rose 86 per cent to US$173.1 million (2006: US$92.8 million);\n\n\nRefinancing of existing debt facility at lower interest rate;\n\n\nRevenue rose 99 per cent to US$108.5 million (2006: US$58.5 million), on the back of higher crude oil production and increased commodity prices (average Brent price 2007: 72.43 $/bbl versus 2006: 67.83 $/bbl);\n\n\nNet Income rose three-fold to US$37.7 million, up from US$12.9 million in 2006. \n\n\n\nOperational highlights\n\n\n\nProduction for the year up to 1.8 mbbls (2006: 1.1 mbbls);\n\n\n2P reserves increased from 304 mboe in 2006 to 397 mboe in 2007;\n\n\nSuccessful execution of the 2007 drilling program (drilling 9 wells);\n\n\nSigning of EPC contract for a Gas Treatment Unit (contract value $182 million).\n\n\n\nHighlights since end of 2007\n\n\n\nSuccessful completion in Q1, 2008 of all Conditions Precedent for the new $550 million debt facility that was signed in December 2007;\n\n\nSuccessful listing of GDR's on the London Stock Exchange in April, 2008 raising US$100 million equity for Zhaikmunai from new investors. \n\n\n\nCommenting on the results, Kai-Uwe Kessel, Chief Executive, said\n\n 'Zhaikmunai worked hard throughout the year in preparation for entering the production phase in the Chinarevskoye field. The focus of 2007 was two-fold: first to finalise the exploration of the field,...