- Revenue for the period: SEK 5 (19) million
- Operating result for the period: SEK -11 (-3) million
- Result for the period after tax: SEK -12 (0) million
- Basic and diluted earnings per share: SEK -1.12 (0.01)
- First Russian oil sold during the second quarter
- Successful 65 km seismic program on Aysky completed
- Multi-well infill development program on Rustamovskoye to be launched this autumn
- SEK 51 million from the liquidation of Tomsk Refining to be received in August
Statement from the CEO
I am glad to announce that Shelton Petroleum has now sold its first Russian oil. During the second quarter, 26,000 barrels of oil were sold from initial production from the two successful exploration wells on the Rustamovskoye field. Based on the recent test production and the previous seismic programs, Shelton Petroleum has designed an up to six well drilling campaign on this field to be commenced during the fall of 2011. We are excited about the incremental production this drilling program may provide as well as gaining more insight into the ultimate potential of the Rustamovskoye field.
Our investment in Tomsk Refining has proven to be successful. Following the divestment of the refinery, we expect to receive SEK 51 million as a first payment at the end of this month. Additional amounts of up to SEK 25 million may be received in future payments. These funds will enable us to commence the Rustamovskoye drilling program.
We are also making progress in our exploration program. During the second quarter, Shelton Petroleum completed a sixty-five kilometer seismic program on the Aysky field. An independent processing and interpretation of the seismic data identified three prospective structures with a significant potential amounting to over 20 million barrels. A helium survey conducted during the summer indicates active oil and gas presence on Aysky and provides supporting evidence that the producing sandstone formation on Rustamovskoye extends into the company’s neighboring Aysky license. Based on the work performed to date, our three adjacent license blocks of over 500 square kilometers have a significant potential that we are looking forward to exploring further during the coming years.
Restarting production at the Lelyaki field in Ukraine has been a frustrating and time-consuming process. After some organizational changes in the Ukrainian administration in early summer, we launched new measures together with our partner Ukrnafta to complete the necessary documentation work needed to resume production. Several steps have been taken during the summer and an announcement will be made as soon as the issue is solved.
Shelton Petroleum is in terms of oil companies a young company. The markets around us and the environment we are active in are not without their challenges. However, we will continue to build the company and I am convinced that a successfully implemented development program on Rustamovskoye will take us to the next level.
(For full report, including tables, please see attached file)
Publication under Swedish law
Shelton Petroleum is publishing this information in accordance with the Swedish Financial Markets Act (Sw. Lag om värdepappersmarknaden) and/or the Swedish Financial Trading Act (Sw. Lag om handel med finansiella instrument). This information was released for publication on August 26, 2011 at 08:30 CET.
For more information, please contact:
Robert Karlsson, CEO, +46-709565141, firstname.lastname@example.org
Shelton Petroleum AB
Swedish company number: 556468-1491
Birger Jarlsgatan 2
114 34 Stockholm
Tel: +46 8407 18 50