Main goal of the Company is to increase hydrocarbons reserves and production, operating cash flows with an attractive return on the capital employed.

Main goal of the Company is to increase hydrocarbons reserves and production, operating cash flows with an attractive return on the capital employed.

• Active development of the Sakhalin oil and gas field. Sakhalin oil and gas field is one of the most attractive fields in Ukraine, which includes significant reserves and resources of natural gas, gas condensate and oil. Significant volumes of hydrocarbons, results of geological and 3D-seismic surveys, experienced geological and technical staff enable the Company to plan drilling at least 6 new wells (depth from 4 650 to 6 000 meters) with a total budget of more than 1 billion UAH in 2016-2017.

• Implementation and usage of advanced drilling and completion technology. The Company is developing the Sakhalin field by applying leading technologies in drilling and completion of wells. The implementation of this strategic initiative includes both the direct implementation of advanced international practices and attraction of qualified personnel with experience in drilling, completion and operation of wells. The Company also is focused on the best practices in the intensification of the hydrocarbons influx in the existing wells. Due to application of the innovative technologies the Company plans to increase existing production, recovery ratio, reduce the drilling time of new wells by 50% from the current level.

• Increase in profitability through operational efficiency. The Company is aimed at continuous improvement of all business processes, including production, finance and decision management. One of the priorities of the Company is a thorough analysis of the rock properties of the producing reservoirs within the field. As a result of this analysis, the Company plans to select the optimal liquids during drilling and completion of the wells, which will improve their performance, as well as recovery ratio.

• Maintaining acceptable financial liquidity and flexibility. The Company plans to conduct continuous monitoring of operating activities and cash flows, including the effects of hydrocarbons price dynamics and opportunities in costs optimization. The Company is focused on generating sufficient cash flows to finance sustainable development.