Business
Q1 2026 Operations Update
Enwell Energy plc reported no production from its MEX-GOL, SV, and VAS fields in Q1 2026 due to a 10-year suspension of these licences, effective from October 8, 2024, stemming from sanctions applied to indirect beneficial owners. The company is continuing development planning for its SC exploration licence, including drilling the SC-5 well and assessing infrastructure options, while also installing temporary equipment to truck gas and condensate from the SC-4 well. Enwell held approximately $93.3 million in cash resources as of March 31, 2026, and has initiated arbitration proceedings against Ukraine under a bilateral investment treaty seeking damages and licence reinstatement. Disclaimer*
About this update from Enwell Energy Plc
14 April 2026 Enwell Energy plc ("Enwell" or the "Company") Q1 2026 Operations Update Enwell Energy plc (AIM: ENW), the AIM-quoted oil and gas exploration and production group, provides an update on its operational activities in Ukraine in respect of its Mekhediviska-Golotvshinska ("MEX-GOL"), Svyrydivske ("SV") and Vasyschevskoye ("VAS") gas and condensate fields and Svystunivsko-Chervonolutskyi ("SC") exploration licence. Production - Q1 2026 The MEX-GOL, SV and VAS production licences remained suspended and, accordingly, there was no production from those licences in the first quarter, nor at present. Further details on the suspensions are set out below. Operations At the SC exploration licence area, development planning is continuing, including planning for the drilling of the SC-5 exploration well, and for the installation of new gas processing facilities and other surface infrastructure. The Company is also assessing the feasibility of an alternative option of a connection to existing gas processing facilities. Additionally, temporary gathering, separation and compression equipment is being installed, which will enable gas and condensate from the SC-4 well to be separated, the gas compressed at site, and then trucked to the Company's gas processing facilities at its MEX-GOL and SV fields for treatment and sale. In general, the operating environment in Ukraine remains very challenging. The Company continues to be cautious and vigilant with its ongoing activities and is taking the appropriate measures available to protect and safeguard its personnel and business. The safety and well-being of its personnel and contractors is paramount, and the Company will continue to take all possible precautionary measures to ensure their safety. Cash Holdings At 31 March 2026, the Company's cash resources were approximately US$93.3 million, comprised of US$78.8 million equivalent in Ukrainian Hryvnia and the balance of US$14.5 million equivalent in a combination of US Dollars, Pounds Sterling and Euros. Suspension of MEX-GOL, SV and VAS Licences As announced on 18 November 2024, the State Geologic and Subsoil Survey of Ukraine (the "SGSS") issued orders dated 15 November 2024 to suspend the MEX-GOL, SV and VAS production licences. These orders were made pursuant to Ukrainian l...