Hawkley O&G to Hit Pay Zone at Ukraine Well

Hawkley O&G expects to hit the target depth of its Sorochynska Well #201 in Ukraine's Dneiper Donets basin within a few days.

The bottom of the hole is currently 85m from the top of the visean B-18b productive horizon. Once the well has been drilled to full depth, the Company plans to run an open hole test, following which the well will then be cased and perforated and a commercial flow test will be conducted. Subject to those tests, the well will be connected to a local gas plant, enabling it to be tied in and production of gas and condensate started.

The well sits within close proximity to existing gas infrastructure and amidst a rapidly expanding gas market.

Well #201 is targeting reserves in the B-18b horizon. Production from the nearby Well #110 averaged 4.5 million cubic feet of gas and 165 barrels of condensate per day before a mechanical issue caused the well to be shut in. Current gas prices in Ukraine are capped at just over US $7 per thousand cubic feet.

The drilling of well #201 marks the first stage in Hawkley's strategy to become a major exploration and production company. Hawkley will also continue to assess potential asset acquisitions and other deals in the region that will add both production and significant reserves to its current portfolio and create wealth for shareholders.