StockMarketWire.com - Mediterranean Oil & Gas's [LON:MOG] shares rose after its subsidiary, Medoilgas Italia, has signed a gas sales contract with Repower Italia.

The relates to the entire net gas production from the Guendalina gas field for a period of one year from 1 October 2013 until 30 September 2014.

Repower has purchased all of the company's production from Guendalina since 1 April 2012 under an existing contract that is valid until 30 September 2013.

The new contract includes an option for the company to sell all or part of its onshore Italy gas production that is connected to the Italian gas distribution network to Repower at the same 'take and pay' terms.

Currently approximately 75% of the Company's onshore Italy gas production is connected to the gas distribution network. The remaining 25% is sold to local customers.

Valiant Petroleum's [LON:VPP] after-tax profits fell to $1m in the year to the end of December - down from $108m last time - as output and sales fell.

Revenues fell to $233m from $318m in 2011 while production dropped to 6,497 barrels of oil per day - down from 7,453 bopd a year ago.

Valiant said overall production from the Don fields in 2012 was in line with the group's expectations, however, overall production fell short of published guidance due to Causeway's later start up and lower initial flow rates than originally planned.

Production in December grew to 11,500 bopd recognising the benefit of the Dons investments and Causeway having come on stream; this exit rate provides the foundation for stronger production in 2013 than the 2012 average out-turn.

Aminex [LON:AEX] has confirmed that talks over the proposed farm-out of an interest in the onshore Ruvuma Basin, Tanzania, are ongoing with a number of parties.

Aminex is the operator and has a 75% interest in the Ruvuma production sharing contract. The remaining 25% is held by Solo Oil [LON:SOLO].

Petroneft Resources [LON:PTR] said total oil production from its licence 61 at Tomsk Oblast, Russian Federation, totalled 2,800 bopd.

This followed the successful completion of 105 well and re-perforation of 102 wells at Arbuzovskoye.

"Development work at Arbuzovskoye has been positive this past month. Not only has the pressure testing of two wells confirmed normal pressure decline for the field in line with production, but the workover of well 102 was successful," the company said.

"We will now implement the planned pressure maintenance programme on the field which will slow production decline and improve recoveries. A similar programme was implemented at Lineynoye field where we had positive results."

Rosneft and BP [LON:BP.] have completed the TNK-BP sale and purchase transaction and they are in line with terms agreed last October.

BP is to receive net $12.48 billion in cash, including a TNK-BP dividend of $0.71bn, and 18.5% of Rosneft shares.

Rosneft becomes the holder of BP's 50% interest in TNK-BP in exchange for $16.65bn in cash and 12.84% of Rosneft shares;

OFSC ROSNEFTEGAZ is to sell 5.66% in Rosneft to BP in return for $4.87bn billion in cash.

BP Group Chief Executive Robert Dudley said: "This is a historic day for BP in Russia. BP has invested in Russia for more than 20 years and for a decade we have been Russia's largest foreign investor through our involvement with TNK-BP.

"We aim to continue that success with today's transaction, which increases our stake in Rosneft and gives us a wonderful opportunity to forge a new partnership with a great Russian oil company.

"We hope to help Rosneft to deliver synergies through its acquisition of TNK-BP and to grow production and reserves through brownfield, greenfield and unconventional opportunities as Rosneft strengthens its position among the world's leading global energy companies."

The sector's biggest riser was Xtract Energy [LON:XTR] - up by more than 9% - while the biggest faller was Fortune Oil [LON:FTO] - down by more than 11%.








At 4:27pm:

[LON:AUR] Aurum Mining share price was +0.13p at 2.75p

[LON:BOR] share price was -0.75p at 20.75p

[LON:BP.] BP share price was +1.63p at 449.63p

[LON:CHAR] share price was -1.12p at 18.63p

[LON:DES] Desire Petroleum share price was -0.25p at 16.75p

[LON:DGO] Dragon Oil share price was -0.25p at 637.25p

[LON:ENQ] share price was +0.45p at 141.25p

[LON:FOGL] Falkland Oil and Gas Limited share price was -0.87p at 29.63p

[LON:FTO] Fortune Oil share price was -1.18p at 8.95p

[LON:GKP] Gulf Keystone Petroleum share price was +2.63p at 182.13p

[LON:GPX] share price was -1.37p at 101.38p

[LON:INDI] share price was -20p at 925p

[LON:MOG] share price was +0.25p at 10.25p

[LON:PET] Petrel Resources share price was +0.01p at 15.88p

[LON:PTR] share price was +0.01p at 4.13p

[LON:RKH] share price was +9.38p at 160.38p

[LON:RPT] Regal Petroleum share price was -0.25p at 26.75p

[LON:VPP] share price was -0.75p at 453.25p

[LON:XEL] share price was -2.25p at 116p



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