REG - Ascent Resources PLC - Initiation of work-program on ARB Energy

Ascent ResourcesAnnouncement

20/06/2025 07:00

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RNS Number : 6425N  Ascent Resources PLC  20 June 2025

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20 June 2025

Ascent Resources plc

("Ascent" or the "Company")

Initiation of work-program on ARB Energy Utah, LLC operated leases

Ascent Resources Plc (LON: AST) is pleased to announce that, further to its
conditional acquisition of a 10% interest in leases operated by ARB Energy
Utah, LLC ("ARB" or the "Operator") and rights to 50% of incremental
production generated from work-over style operations on existing wells which
are 100% funded by Ascent as announced 22 May 2025, together with the Operator
(the "Parties") have reviewed the work-over opportunities relating to existing
(producing and shut-in) wells in the acreage and have identified the first 15
wells to target which have an aggregate budget of $100,000 to implement.

As part of initiating a low-cost operational work program to reinstate
production from multiple previously producing wells, Ascent has agreed with
the Operator to install compression units to address high export pipeline
back-pressures which is currently preventing the wells from producing. The
first operation will seek to bring the first five wells back into production.
Ascent has agreed to pay 100% of the costs of these operations such that
Ascent will receive a 50% interest in the increased production generated from
this first operational investment. These amounts will be advanced by Ascent to
ARB via a loan note ahead of the closing of the acquisition ("Closing"), which
remains conditional on shareholder approval to issue new shares. Subject to
Closing the loan will be extinguished and the amounts will be treated as JOA
partner contributions for payment of operational costs.

The gas gathering third-party has been advised to expect additional volumes
once production has been restored. Over the coming weeks, the Operator expects
to proceed with further rig-less operations. Updates will be announced as
appropriate and in due course.

Enquiries:

 Ascent Resources plc                      info3@ascentresources.co.uk

 Jean-Michel Doublet
 Zeus, Nominated Adviser & Broker          0203 829 5000

 James Joyce / James Bavister
 Novum Securities, Joint Broker            0207 399 9400

 Jon Belliss / Colin Rowbury
 Fortified Securities, Joint-Broker        0203 411 7773

 Guy Wheatley
 Shard Capital Partners LLP, Joint-Broker  0207 186 9952

 Damon Heath

 

Qualified Persons Statement

Leonardo Salvadori, a qualified Geologist with over 35 years of relevant
experience in the oil and gas industry and a member of SPE (Society of
Petroleum Engineers) has reviewed this announcement for the purposes of the
current Guidance Note for Mining, Oil and Gas Companies issued by the London
Stock Exchange in June 2009 and in accordance with the Petroleum Resources
Management System (PRMS) issued in June 2018 by the Society of Petroleum
Engineers, the World Petroleum Council, the American Association of Petroleum
Geologists, the Society of Petroleum Evaluation Engineers, the Society of
Exploration Geophysicists (SEG), the Society of Petrophysicists and Well Log
Analysts (SPWLA) and the European Association of Geoscientists & Engineers
(EAGE).

 

Glossary of terms

 "BOE"      Barrell of oil equivalent
 "Mcfd"     Thousand standard cubic feet per day
 "shut-in"  Well operation in oil and gas production which involves temporary or permanent
            cessation of fluid flow.

 

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