Dragon Oil production exceeds expectations

The Turkmenistan based firm said its average gross oil production rate had risen by 25% from 73,440 barrels per day to 92,060 bpd, while gross production for the month of June was 98,890 bpd.

Dragon Oil, which Emirates National Oil Company made an £3.7bm takeover for earlier this year, said it drilled six wells in the first half of the year.

It also continued to spend on infrastructure drilling and exploration, posting a capital expenditure figure of $313m, equal to the same period last year.

Dragon Oil chief executive Abdul Jaleel Al Khalifa said its production level for June was a milestone for the company.

"We are aiming to maintain the average daily gross production at around 100,000 bopd for the remainder of the year and sustaining this plateau thereafter for a minimum of five years."

Shares in Dragon Oil were unchanged at 1135 BST at 727p.