Cub Energy Inc. (TSX:V.KUB, Stock Forum), reports the Makeevskoye-20 well in east Ukraine has been cased to total depth.
KUB-Gas LLC, a subsidiary in which Cub has a 30% ownership interest, operates the well, located north of Luhans’k.
According to the press release, the M-20 development well was drilled to a total depth of 2,000 metres using the K-200 drilling rig owned by KUB-Gas.
The primary objective of M-20 was to evaluate the R8 sands at a depth of approximately 1,450 metres and further develop the Makeevskoye R8 pool originally discovered in the Makeevskoye-19 well drilled in the second half of 2010 and further developed by the Makeevskoye-21 well drilled in the second quarter 2012.
The top of the R-8 Zone in the M-20 well is approximately 20 metres higher than in the M-19 and well and 36 metres higher than in the M-21 well.
A significant increase in gas in the drilling mud was noted when the R-8 zone was penetrated during the drilling operation. Wireline logs indicate that the zone is 18.5 metres thick, has an average porosity of more than 25% and appears to be completely gas charged.
The KUB-Gas owned and operated drilling rig is now scheduled to move from the M-20 location to the Krutogorovskoye-7 location in late August 2012.
The K-7 well will be drilled to a total depth of 3058 metres to evaluate the potential of Moscovian and Bashkirian zones in a new structure defined by seismic.
Cub is Texas-based company focused on the exploration and development of oil and gas in Ukraine.
On Monday, Cub’s stock was up 35% and was trading at $0.29 a share. The company has a market cap of $61.2 million, based on 211 million shares outstanding. The 52-week high and low was $0.495 and $0.20 respectively.