TIDMCAD 
 
RNS Number : 5820S 
Cadogan Petroleum PLC 
13 September 2010 
 

Monday 13 September 2010 
       Cadogan Petroleum plc  - Pirkovskoe and Zagoryanska licence issues 
The Board of Cadogan Petroleum plc "Cadogan" is pleased to advise that it has 
entered into a settlement agreement with NSJC Nadra Ukraine ("Nadra"), a state 
owned company, and its subsidiary company Poltavanaftogazgeology ("PNGG"), 
whereby PNGG and Nadra will apply to the Higher Administrative Court of Ukraine 
to withdraw the cases between them over the previous ownership of the licences 
for the Pirkovskoe and Zagoryanska fields. This means that, subject to meeting 
the conditions of the agreement, the indirect challenge to the ownership of 
these licences will cease. The agreement requires court approval of settlement 
terms between the parties anticipated at a hearing planned for 6 October 2010. 
On receiving court approval, the parties have agreed to conclude all matters in 
the settlement agreement by mid-October. 
Once the court action is withdrawn, Cadogan has agreed to withdraw its claim for 
damages against Nadra  with regard to  the initial licence challenge in July 
2008. In addition, also subject to court approval of settlement terms, Cadogan 
has agreed terms for the purchase from Nadra five wells for US$3.2 million on 
the Zagoryanska licence, including the Zagoryanska 3 well which went into 
commercial production on 1 August 2010 and continues to produce gas and 
condensate at rates of approximately 50,000 and 15 cubic meters per day 
respectively. The Company currently rents the Zagoryanska 3 well from Nadra. It 
is anticipated that work-overs of the four additional wells could lead to 
further production from the Zagoryanska field. 
 
Ian Baron, Chief Executive Officer, commenting on the agreement said "When all 
the conditions of this agreement are fulfilled it will confirm the position 
already advised by the Minstry of Environmental Protection of Ukraine that 
Cadogan has clear title to its Pirkovskoe and Zagoryanska licences in Ukraine. 
Our success in reaching this agreement is a clear indication of the improved 
operating conditions in Ukraine and we look forward to developing a cooperative 
relationship with Nadra and the Ministry." 
+-----------------------------------------+------------------------+ 
| Enquiries                               |                        | 
+-----------------------------------------+------------------------+ 
|                                         |                        | 
+-----------------------------------------+------------------------+ 
| Cadogan Petroleum plc                   | +44 20 7245 0801       | 
+-----------------------------------------+------------------------+ 
| Ian Baron, Chief Executive Officer      |                        | 
+-----------------------------------------+------------------------+ 
| Stefan Bort, Company Secretary          |                        | 
+-----------------------------------------+------------------------+ 
 
+------------------------+------------------+ 
| Bankside               | +44 20 7367 8888 | 
+------------------------+------------------+ 
| Simon Rothschild       |                  | 
+------------------------+------------------+ 
| Rose Oddy              |                  | 
+------------------------+------------------+ 
 
Ends 
 
 
 
This information is provided by RNS 
            The company news service from the London Stock Exchange 
   END 
 
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