Production licence received for the Aysky oil field

As previously announced, Petrosibir in 2018 successfully re-entered the old Soviet well #141 within the Aysky licence in Bashkiria. Following the re-entry the Company prepared and filed a reserves report which was approved by the Russian State Reserve Committee. Thanks to this, the Company has been able to book the additional recoverable AB1+B2 reserves of 7.3 million barrels of oil over two intervals (Kyn-Pashiysky and Orlovsky). The cost of the re-entry resulting in these additional reserves was only approximately SEK 2 million. Following approval of the reserves Petrosibir applied for a production licence which has now been issued. The production licence is for 20 years expiring in 2039. The discovery bonus payable on receiving the licence is about SEK 3.4 million where 20% is to be paid within a month and the remaining 80% over 5 years.

Having received the production licence the Company plans to launch test production before the end of the third quarter 2019. 

Stockholm, 1 August 2019