Enwell Energy PLC, an AIM-quoted oil and gas exploration and production group, has released its quarterly operations update. The report covers the company's operational activities in Ukraine, focusing on its Mekhediviska-Golotvshinska ("MEX-GOL"), Svyrydivske ("SV"), and Vasyschevskoye ("VAS") gas and condensate fields, as well as the Svystunivsko-Chervonolutskyi ("SC") exploration license.
The average daily production of gas, condensate, and LPG from the MEX-GOL, SV, and VAS fields during Q4 2023 is detailed. The ongoing war in Ukraine and adverse regulatory actions have impacted the company's operations, resulting in a loss of production from the VAS field. Production volumes at the MEX-GOL and SV fields were lower compared to Q4 2022 due to natural field decline.
The report also provides the average daily production for the full year 2023, highlighting the impact of the VAS field's suspension on the overall production. The company's production operations are continuing at the MEX-GOL and SV fields, with disruptions to the supply of equipment, fuel, and electricity affecting some activities. The operating environment in Ukraine is described as very challenging.
The update includes information on the GOL-107 development well and the suspension of operations at the VAS field and SC exploration license area. Enwell Energy PLC emphasizes its cautious and vigilant approach to operations, prioritizing the safety and wellbeing of its personnel and contractors.
The company's cash holdings at the end of 2023 are disclosed, amounting to approximately $77.0 million, with a breakdown of the currency composition. The report also addresses the suspension of the VAS and SC licenses, detailing the regulatory actions and their impact on the company.
Enwell Energy PLC's update provides a comprehensive overview of its operational activities, production performance, challenges faced in the operating environment, and measures taken to ensure the safety of its personnel and business.