Petroneft well beats production targets

Shares in Petroneft Resources, a Russia-focused oil company, leapt on Monday after it hailed 'outstanding' production rates at its newly completed well.

The firm said the Arbuzovskoye well 102 had been successfully completed with an initial flow of 540 barrels of oil per day.

This marked the highest flow rate without fracture stimulation in the firm's Licence 61 area, according to the company.

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"This is well above our target rate for these wells and further confirms the excellent continuity and good reservoir properties in the eastern portion of the field," said Chief Executive Dennis Francis.

"While there may be some variation in results, we look forward to the additional wells in Arbuzovskoye over the coming months as we continue to focus on materially increasing our production profile and cash flows."

The well is the second of ten planned new production wells on the Arbuzovskoye oil field.