OAO Varioganneft implements the fields development efficiency improvement program

Drilling of 11 wells was completed on Pad 107 in Tagrinskoe field and 2 more wells appeared on Pad 64.

Following the drilling results, the production rate of one of the wells is 565 tons of oil with the water cut within 5%.

OAO Varioganneft continues commercial development of Novo-Aganskoe filed this year within the framework of the production drilling program. Seven wells have been drilled in the field as of today. Oil production increment by means of commissioning of the new wells was 350 tons/day.

Drilling of 4 wells out of 5 targeted was completed on Pad 40 in Zapadno-Varioganskoe field. Two more horizontal wells were commissioned on Pad 159a.

OAO Varioganneft will continue to implement the license areas development efficiency improvement program. Eighteen wells have already been drilled and commissioned out of 30 wells to be drilled overall in Variogan oil block in 2012. The company intends to produce around 400 thousand tons of oil by means of addition of the new wells. Whereby the total volume of annual production will be around 3 million 150 thousand tons.