Proactiveinvestors recommends
Additional Information
Market: AIM
Sector: Energy
EPIC: RPT
Latest Price: 22.50p  (1.67% Ascending)
52-week High: 51.75p
52-week Low: 21.00p
Market Cap: 72.14M
1 year chart
digital-look imported chart image
1 day chart
digital-look imported chart image
Watchlist/Portfolio

Add to watchlist:

Only registered members can add into watchlist !

Register here !
Regal Petroleum
www.regalpetroleum.co.uk

Regal Petroleum's primary assets are two large gas and condensate fields in Ukraine - the Mekhediviska-Golotvschinska (MEX-GOL) field and the Svyrydivske (SV) field located in the prolific Dneipner-Donets basin in the north east of Ukraine. Regal is the operator of the assets and there are currently 5 production wells on the assets. Secondary to this, but still significant, are two large exploration blocks in Romania, the Barlad and Suceava Blocks, where Regal holds a 100% and 50% interest respectively.

Regal Petroleum also has a 25% non-operated joint venture in Egypt with Apache Khalda Corporation LDC, where an exploration well tested positively for oil in September 2007 and was tied in as a producing well in June 2008.

Full Regal Petroleum profile here
Is RPT a Buy, Sell or Hold?Get your FREE analysis of RPT
Pdf

Regal Petroleum to resume production in Ukraine

11th Jul 2011, 8:20 am by Jamie Ashcroft Regal has now begun the necessary technical operations to resume production.

Regal Petroleum (LON:RPT) revealed that it is now able to restart production from its two Ukrainian gas fields due to a temporary ruling by the District Administrative Court of Kiev.

Last year Regal suspended its operations at the Mekhediviska Golotvshinska (MEX-GOL) and Svyrydivske (SV) gas fields. This followed communications from Ukraine’s minister of environmental protection (MEP), which identified compliance issues that need rectifying by Regal.

The initial order, which was disputed by Regal and its primary customer OJSC Ukrzakordongeologia, was received in March 2010 and the operations were suspended in November 2010 after a failed appeal in Kiev. 

In the meantime Regal became the subject of a protracted takeover battle between two influential Ukrainian companies. In the end the Smart Holding Group fended off its competition but it could only secure enough support from Regal shareholders to take a 54 percent stake in the company.

Last month told investors that with Smart’s backing it has a strengthened position to fight the suspension. In releasing its results for the year to 31 December 2010, the firm said, through Smart, it now had access to a management team which, it believes, is well placed to deal with the suspension order that was issued by Ukraine's ministry of environmental protection last year.

Regal has now confirmed that it has filed new legal proceedings in the District Administrative Court of Kiev, against the minister and the State Geological Service of Ukraine, in respect of the Ministry Order based on new circumstances. 

Concurrently it applied to the court for a suspension of the order that forced Regal to suspend its operations. The court ruled in favour of Regal, which means that production can now resume from the MEX-GOL and SV fields during the interim period.

“The suspension of the Ministry Order is a temporary ruling and is not a final settlement of the dispute between the company and the MEP,” Regal said in a stock exchange statement.  

“A substantive decision of the Court in the new proceedings is expected in due course.”

Regal has now begun the necessary technical operations to resume production.

No investment advice

The Company is a publisher and is not registered with or authorised by the Financial Services Authority (FSA). You understand and agree that no content published on the Site constitutes a recommendation that any particular security, portfolio of securities, transaction, or investment strategy is suitable or advisable for any specific person. You further understand that none of the information providers or their affiliates will advise you personally concerning the nature, potential, advisability, value or suitability of any particular security, portfolio of securities, transaction, investment strategy, or other matter.

You understand that the Site may contain opinions from time to time with regard to securities mentioned in other products, including company related products, and that those opinions may be different from those obtained by using another product related to the Company. You understand and agree that contributors may write about securities in which they or their firms have a position, and that they may trade such securities for their own account. In cases where the position is held at the time of publication and such position is known to the Company, appropriate disclosure is made. However, you understand and agree that at the time of any transaction that you make, one or more contributors may have a position in the securities written about. You understand that price and other data is supplied by sources believed to be reliable, that the calculations herein are made using such data, and that neither such data nor such calculations are guaranteed by these sources, the Company, the information providers or any other person or entity, and may not be complete or accurate.

From time to time, reference may be made in our marketing materials to prior articles and opinions we have published. These references may be selective, may reference only a portion of an article or recommendation, and are likely not to be current. As markets change continuously, previously published information and data may not be current and should not be relied upon.