OREANDA-NEWS. June 15, 2010. According to the Ministry of Fuel and Energy data, oil and gas recovery fell by 11.19% in 5M2010 to 1,489.4 ktons compared with the 5M2009 performance. In May 2010, the oil and gas output fell by 10.1% to 300.4 compared to May 2009.  This trend includes the largest oil production company Ukrnafta <UNAF UK U/R>, which reduced its production by 13.7% to 1,045 ktons in 5M2010 y-o-y, but increased the output in May 2010 m-o-m by 5.2% to 211.2 ktons.  The British oil and gas company Regal Petroleum <RPT LN U/R> increased its oil and gas condensate production by 31.1% in 5M2010 compared with 5M2009. JKX Oil and Gas <JKX LN U/R> reduced oil extraction in May m-o-m by 5.76%, but then increased it by 19% y-o-y in 5M2010.

Millennium Capital: a reduction of oil and gas condensate extraction is negative news. The largest Ukrainian oil and gas companies reduced their oil output amounts in 2010, including NJSC Naftogas of Ukraine participants Ukrgasdobycha and Ukrnafta. Millennium Capital attributes the increase in Ukrnafta’s output performance to the introduction of the new wells (seven oil and three gas wells).