HOUSTON, TX, May 24, 2018 /CNW/ - Cub Energy Inc.
("Cub" or the "Company") (TSX-V: KUB), a
Ukraine-focused upstream oil and
gas company, announces that KUB-Gas LLC ("Kub-Gas"), Cub's
35%-owned subsidiary which owns and operates the eastern
Ukraine licences, has commenced
drilling of the North Yatskivska #3 ("NY-3") well on the
West Olgovskoye ("WO") licence. The NY-3 well is planned to
a total depth of 2,300 metres to evaluate several prospective
horizons. The NY-3 well is funded through existing Kub-Gas
cashflow.
The WO licence is a relatively new licence obtained in 2015 that
is on strike to the producing Olgovskoye and Makeevskoye licences.
The WO licence surrounds, but does not include, the existing
Druzhelyubovskoe gas/condensate field, which has produced over 180
billion cubic feet ("Bcf") of gas since 1979, from the same
Moscovian and Bashkirian zones that produce in Kub-Gas' Olgovskoye
and Makeevskoye licences.
Mikhail Afendikov, Chairman and CEO of Cub said: "We are
pleased to spud our first well on WO and anticipate shooting a 3D
seismic program on the licence later in 2018 and into 2019 to
further delineate further prospects."
About Cub Energy Inc.
Cub Energy Inc. (TSX-V: KUB) is an upstream oil and gas company,
with a proven track record of exploration and production cost
efficiency in Ukraine. The
Company's strategy is to implement western technology and capital,
combined with local expertise and ownership, to increase value in
its undeveloped land base, creating and further building a
portfolio of producing oil and gas assets within a high pricing
environment.
For further information please contact us or visit our website:
www.cubenergyinc.com
Oil and Gas Equivalents
A barrel of oil equivalent ("boe") or units of natural gas
equivalents ("Mcfe") is calculated using the conversion factor of 6
Mcf (thousand cubic feet) of natural gas being equivalent to one
barrel of oil. A boe conversion ratio of 6 Mcf: 1 bbl (barrel) or a
Mcfe conversion of 1bbl: 6 Mcf is, based on an energy equivalency
conversion method primarily applicable at the burner tip and does
not represent a value equivalency at the wellhead and is not based
on either energy content or current prices. While the boe ratio is
useful for comparative measures, it does not accurately reflect
individual product values and might be misleading, particularly if
used in isolation. As well, given that the value ratio, based on
the current price of crude oil to natural gas, is significantly
different from the 6:1 energy equivalency ratio, using a 6:1
conversion ratio may be misleading as an indication of value.
The disclosure in this press release is prepared in accordance
with NI 51-101 standards.
Reader Advisory
Except for statements of historical fact, this news release
contains certain "forward-looking information" within the meaning
of applicable securities law. Forward-looking information is
frequently characterized by words such as "plan", "expect",
"project", "intend", "believe", "anticipate", "estimate" and other
similar words, or statements that certain events or conditions
"may" or "will" occur. Cub believes that the expectations
reflected in the forward-looking information are reasonable;
however there can be no assurance those expectations will prove to
be correct. We cannot guarantee future results, performance or
achievements. Consequently, there is no representation that
the actual results achieved will be the same, in whole or in part,
as those set out in the forward-looking information.
Forward-looking information is based on the opinions and
estimates of management at the date the statements are made, and
are subject to a variety of risks and uncertainties and other
factors that could cause actual events or results to differ
materially from those anticipated in the forward-looking
information. Some of the risks and other factors that could
cause the results to differ materially from those expressed in the
forward-looking information include, but are not limited to:
general economic conditions in Ukraine, the Black Sea Region and globally;
political unrest and security concerns in Ukraine; industry conditions, including
fluctuations in the prices of natural gas and foreign currency;
governmental regulation of the natural gas industry, including
environmental regulation; unanticipated operating events or
performance which can reduce production or cause production to be
shut in or delayed; failure to obtain industry partner and other
fourth party consents and approvals, if and when required;
competition for and/or inability to retain drilling rigs and other
services; the availability of capital on acceptable terms; the need
to obtain required approvals from regulatory authorities; stock
market volatility; volatility in market prices for natural gas;
liabilities inherent in natural gas operations; competition for,
among other things, capital, acquisitions of reserves, undeveloped
lands, skilled personnel and supplies; incorrect assessments of the
value of acquisitions; geological, technical, drilling, processing
and transportation problems; changes in tax laws and incentive
programs relating to the natural gas industry; failure to realize
the anticipated benefits of acquisitions and dispositions; and the
other factors. Readers are cautioned that this list of risk
factors should not be construed as exhaustive.
This cautionary statement expressly qualifies the
forward-looking information contained in this news release.
We undertake no duty to update any of the forward-looking
information to conform such information to actual results or to
changes in our expectations except as otherwise required by
applicable securities legislation. Readers are cautioned not
to place undue reliance on forward-looking information.
Neither the TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in the policies of the TSX
Venture Exchange) accepts responsibility for the adequacy or
accuracy of this release.
SOURCE Cub Energy Inc.