At the recent Ukrainian oil auction, a total of 8,700 barrels of oil net to Shelton Petroleum was sold at a price of USD 90 per barrel net of VAT. The workover program being performed on the field resulted in continued increased production in July. Despite the record production in July, the sold volume at the recent auction was slightly lower than previous months since the August auction was held earlier in the month and therefore included fewer production days compared to previous auctions.
Production from the Lelyaki field in July 2012 amounted to approximately 10,900 barrels net to Shelton Petroleum. This equals a daily production of 352 barrels, which is an increase of 31 per cent compared to the average daily production in 2011.
Proceeds from the auction amounted to just under USD 800,000, equivalent to approximately SEK 5 million.
Shelton Petroleum has a 45% interest in Kashtan Petroleum (holder of the license to the Lelyaki oil field) through its wholly owned subsidiary Zhoda 2001 Corporation. Ukrnafta, Ukraine's largest oil and gas company, owns 55%.
For more information, please contact:
Zenon Potoczny, President, Shelton Petroleum, +1416566 7163
Robert Karlsson, CEO, Shelton Petroleum, tel +46 709 565141
About Shelton Petroleum
Shelton Petroleum is a Swedish company focused on exploring and developing concessions in Russia and the resource-rich basins of Ukraine. The company holds three licenses in the Volga-Urals area and has commenced production on the Rustamovskoye field after a successful exploration program. In Ukraine, Shelton Petroleum’s wholly owned subsidiary has a joint venture with Ukrnafta and Chornomornaftogaz, two leading Ukrainian oil and gas companies. Shelton Petroleum is pursuing an integrated business model and holds an equity stake in Baltic Oil Terminals PLC. The Shelton Petroleum share is traded on the NGM stock exchange under the under the symbol SHEL B.