Ukrnafta’s oil output drops by 4.1% y-o-y, gas production by 14.7% y-o-y in 5M11

In 5M11, Ukrnafta(UX: UNAF UK) decreased its oil output by 4.1% y-o-y to 884.3 ths mt, condensate output by 39.2% y-o-y to 75.2 ths mt, and gas output by 14.7% y-o-y to 899.2 mln m3. In 2010, Ukrnafta’s gas output declined by 17% y-o-y to 2.4 bln m3, gas condensate output slumped by 10.6% y-o-y to 269.8 ths mt, and oil output shrank by 2.2% y-o-y to 2.2 mln mt. Antonina Davydenko: Ukrnafta’s production results were expected given 1Q11 output. A long-awaited turnaround could come following last week’s appointment of David Sturt as senior manager of Ukrnafta’s upstream division; he will be tasked with stabilizing production levels and stimulating exploration.