Ascent Resources (LON:AST) the AIM listed oil and gas exploration and production company has recently updated the market with regard to its Italian and Hungarian operations. Investors have been encouraged by the core sample loggings taken from the Fontana-1 well in Italy’s Latina Valley region. The structure was found to contain live oil at the carbonate platform, which was identified whilst drilling the adjacent Anagni-1 well, and importantly a second thrust formation has also been confirmed by the Fontana-1 well. [1]
With Fontana-1 being permitted and drilled as a geographical appraisal well by the Italian Government, it was merely for the purpose of gaining a greater understanding of the area and the presence of oil and not for testing quality and estimating a recoverable resource structure. Ascent Resources along with their partners have now concluded that based on the Anagni-1 and the Fontana-1 which have both contained live oil they will now proceed with a full appraisal well named the Anagni-2 in a structure they believe has the potential to contain substantial reserves [2] , stating,
“The Partners believe that the results are sufficiently encouraging to proceed with the permitting of a hydrocarbon appraisal well, the Anagni-2, located within 1 km of the Fontana-1 location, which will target a smaller adjacent structure.” [1]
With Ascent now moving into the next phase within the Frosinone Exploration Permit in the Latina Valley, investors will be eagerly anticipating an updated account of the project and its planned funding.
To coincide with the oil find in Italy, disappointing news was reported from the Penészlek project in Hungary, where the PEN-106 was plugged and abandoned. The rig is now due to return to PEN-101 for remedial work that will enable almost immediate production through the PEN-105 facility. Concerns will now be raised as to the cash flow potential of the Penészlek project and future plans for the area.
Going forward, Ascent will soon be providing details of its Slovenian drilling programme which is due to start the second half of this year. With the structure now estimated to contain 375 billion cubic feet of recoverable gas it has the potential to be a company maker. [3]
Another project with news imminent is the Switzerland project and the farm…
