StockMarketWire.com - Diversified Gas & Oil said it had entered into a five-year agreement with the Kentucky Department for Natural Resources setting out its well-asset retirement obligations in the US state.

The company said it owned around 60,000 gas and oil wells throughout the Appalachian region, of which around 7,500 were in Kentucky.

DGO said it would complete an assessment of its wells in Kentucky by 30 June, with a primary analysis of non-producing wells across the state.

It would plug 25 non-producing wells by 31 December and a minimum of 20 non-productive wells per annum for the calendar years 2020-2023.

From 2020 to 2030, it would also plug or return to production at least 50 wells per annum, of which up to 30 wells could be previously non-productive wells that DGO placed back into production.

'This is another positive agreement that underlines our commitment to responsibly managing the wells within the states in which we operate,' chief executive Rusty Hutson said.


At 2:54pm: [LON:DGOC] Diversified Gas Oil Plc share price was +2.5p at 119.5p



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