Cub Energy Inc. announced quarterly production and a 2013 exit rate of approximately 2,070 barrels of oil equivalent (boe/d) (a 35% increase over the company's 2012 exit rate). Average production from the company's Ukrainian assets for the fourth quarter of 2013 was 1,687 boe/d, an 11.5% increase over third quarter production of 1,513 boe/d. Cub realised a significant increase in corporate production from the tie in of its first 100% working interest (WI) well, the Rusko-Komarovskye-22 (RK-22) late in the fourth quarter. Average production for 2013 was 1,562 boe/d (an increase of 29% over 2012 production of 1,210 boe/d). During the fourth quarter Cub drilled, completed and brought on production the RK-22 well. The company announced in December the RK-22 well tested gas at a maximum flow rate of 2.5 million cubic feet per day (MMcf/d). The well commenced production in late-December and is currently producing approximately 1.9 MMcf/d or 318 boe/d.

The company provided earnings guidance for the year 2014 and production guidance for the first quarter of 2014. The company expects to execute a capital expenditure budget of approximately $23 million to $27 million (net to Cub) for 2014 and is contingent on the level of operating cash flow.

The company expects additional production volumes through of program of workovers, fracture stimulations and re-entries on 7-10 wells beginning in the first quarter of 2014.