Magnolia Petroleum says that following the recent speculation regarding the Prucha 1-23 MH well ('Prucha' or 'the Well'), the Company has discussed with the operator the plans for bringing the Well into full production. The Board has now decided to relinquish the Company's interest in the Prucha well on the basis that the funds allocated for Prucha may be better utilised elsewhere in the Company's portfolio. No funds had been transferred to the operator prior to this date and hence it is expected that there will be no loss to Magnolia through this decision.

The Company currently has interests in 88 producing wells in proven onshore US formations such as the Bakken, North Dakota, with a further 16 currently drilling/completing and 16 waiting to spud. In addition, Magnolia continues to receive multiple proposals to participate in new wells across its acreage and, as a result expects to see continued growth in its portfolio in due course.

Tags: Magnolia Petroleum