Cadogan Petroleum's Zagoryanska 3 well tests at daily flow of 1135 boepd

In a drilling update released on Friday, Cadogan Petroleum (CAD LN) said that during testing, the Zagoryanska 3 well flowed at a rate of 4.6 mmcfd of gas and 370 barrels of condensate (equal to 1135 boepd), ahead of the company’s expectations. Cadogan said that only contingent reserves are currently accounted for on the Zagoryanska field and that its commercial test rate should result in conversion of contingent resources to reserves. The data will be forwarded to auditors to be incorporated into the annual reserves report that will be published in 1Q09. In 2007, the company produced on average 309.8 boe per day.