The Board of Urals Energy Public Company Limited provided the following operational update. Following the announcement on 20 July 2017, testing of well 130 (which will be known as well 102 in future updates) has been completed. The well encountered the pilling rock formation at 1,787 metres, and the production liner is at a depth of between 1,534 and 1,720 metres. The location of the well is at an area of the reservoir where porosity is relatively low compared with other areas of the reservoir. The well's flow has averaged between approximately 22.5 and 37.5 barrels of oil per day. The Board anticipates that the well will flow for three years and will then be used as a water injector to maintain pressure in the reservoir. The new rig that has been acquired for South Dagi licence area has arrived on the Island of Sakhalin and is undergoing customs clearances. Drilling locations for this rig have been determined. The Board anticipates that the first well at South Dagi will be spudded by the end of October, subject to no delays in completing all necessary regulatory approvals by the end of September 2017. The drilling team will move to the area in September 2017. Negotiations with current contractor for first exploratory well on RK Oil field continue. As announced on 20 July 2017, the company has given notice of termination of the drilling contract because of poor performance and is considering its options in respect of the current contractor's performance. The company is in discussions with new drilling contractors and expects to spud a new well at the Komi site in December 2017.