StockMarketWire.com - PetroNeft Resources [LON:PTR] was one of the sector's biggest risers after it revealed two very good well results at South Arbuzovskoye, boosting production and revenues, said CEO Dennis Francis.

"We have produced oil for the first time from the J1-2 interval in the A-213 well which will increase the oil reserves and flow rates at South Arbuzovskoye," he said in a stateent.

"In addition, our first horizontal well (A-214) has an initial flow rate of over 800 bopd which is the best flow rate thus far in the licence area.

"We will need to monitor the well carefully over the coming months to gauge the decline but the initial results are very encouraging."

HIGHLIGHTS:

Arbuzovskoye Well A-214 Horizontal Production:

� Completed drilling 1,000 m horizontal section with bottom hole at 4,008 m MD.

� Evaluation of pipe conveyed logs indicate 931 m net pay.

� Current rate of production is 800 bopd with less than 5% water.

Arbuzovskoye Well A-213 Vertical Production:

� Two oil zones with 6.9 m net pay. Oil tested in J1-2 interval for the first time at Arbuzovskoye.

� Lower J1-2 zone with 2.9 m net pay currently producing a stable rate of 130 bopd.

� Upper J1-1 zone with 4.0 m net pay expected to come on production by the end of June.

Sibkrayevskoye Well S-374 Planned Vertical Delineation:

� Pad constructed and all materials in place.

� Rig construction is underway with drilling commencement scheduled in July.

Production:

� Current gross production from Licence 61 is about 3,000 bopd.

� This is up sharply due to very encouraging results on the A-214 and A-213 wells recently drilled at Arbuzovskoye field.

* * *

Sound Energy [LON:SOU] said the first Tendrara well has now been drilled to total depth (TD) at a measured vertical depth (MVD) of 2665 metres. The 4-1/2-inch tubing is now being set in preparation for testing the well.

The Company has identified the TAGI reservoir starting at a depth of 2,535 metres MVD, some 12 metres structurally higher than that identified in the previous TE5 well.

Sound Energy therefore believes it has successfully drilled the top of the structure, confirming the geological depositional continuity of the TAGI sandstones within the area.

It identified significant gas shows whilst drilling the reservoir and the full set of acquired logs will be now processed. Sound Energy confirms that a total gross pay of 89 metres has been identified.

The rig will now de-mobilise from the TE6 location and move to the already prepared TE7 site on stand-by. Immediately after de-mobilisation, the Company will proceed with the planned rigless operations to mechanically stimulate the reservoir followed by a well test.

* * *

Gulf Keystone [LON:GKP] says a further gross payment of $7.0 million has been received from the Kurdistan Regional Government for Shaikan crude oil exports in April 2016, bringing the total payment received to date to $13.0 million gross. In line with the bilateral agreement between Gulf Keystone and the KRG's Ministry of Natural Resources of 16 March 2016, the Company expects the balance to be paid shortly.

* * *

Nighthawk Energy's [LON:HAWK] revenues fell 38% to US$29.6 million in the year to the end of December.

The price per barrel fell by 50.7% but this was partly mitigated by the effect of US$7.8 million of gains resulting from oil price swaps settled during the year

Normalised EBITDA fell to US$14.5 million or US$ 22.17 per gross barrel sold from US$27.6 million or US$39.20 per gross barrel sold for 2014.

Nighthawk said its cost reduction programme had been implemented successfully.

The group booked a non-cash impairment (exceptional administrative expenses) of $75.1 million, principally attributable to: $38.5 million of exploration costs included in intangible assets, and $36.1 million to property, plant and equipment, resulting in net loss after tax of US$70.3 million (2014: net loss US$3.9m).

* * *

The sector's biggest riser was President Energy [LON:PPC] - up by more than 7.3% in late trading.








At 4:16pm:

[LON:AUR] Aurum Mining PLC share price was 0p at 0.95p

[LON:BOR] Borders Southern Petroleum PLC share price was +0.04p at 2.01p

[LON:CHAR] Chariot Oil Gas Ltd share price was -0.02p at 7.93p

[LON:ENQ] EnQuest Plc share price was -0.37p at 33.13p

[LON:GKP] Gulf Keystone Petroleum share price was -0.09p at 4.32p

[LON:GPX] Gulfsands Petroleum PLC share price was 0p at 4.13p

[LON:HAWK] Nighthawk Energy PLC share price was -0.08p at 0.95p

[LON:INDI] Indus Gas Ltd share price was 0p at 175.5p

[LON:PET] Petrel Resources PLC share price was 0p at 4.75p

[LON:PPC] President Energy Plc share price was +0.53p at 7.63p

[LON:PTR] Petroneft Resources PLC share price was +0.13p at 2.2p

[LON:RKH] Rockhopper Exploration PLC share price was -1.75p at 37.25p

[LON:RPT] Regal Petroleum PLC share price was 0p at 2.9p

[LON:SOU] Sound Energy PLC ORD 1p share price was +0.13p at 16.88p

[LON:XEL] Xcite Energy Ltd share price was -0.25p at 11.88p



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