REG - Prospex Energy PLC - Italy: Selva Malvezzi Production Concession Update

Prospex EnergyAnnouncement

18/11/2025 07:45

For best results when printing this announcement, please click on link below:
https://newsfile.refinitiv.com/getnewsfile/v1/story?guid=urn:newsml:reuters.com:20251118:nRSR9627Ha&default-theme=true

RNS Number : 9627H  Prospex Energy PLC  18 November 2025

Prospex Energy PLC / Index: AIM / Epic: PXEN / Sector: Oil and Gas

 

18 November 2025

 

Prospex Energy PLC

("Prospex" or the "Company")

 

Italy: Selva Malvezzi Production Concession - Operational Update

 

Prospex Energy PLC (AIM: PXEN), the AIM quoted investment company focused on
European gas and power projects, is pleased to provide an update from the
Selva Malvezzi production concession in Italy following the publication by Po
Valley Energy Limited ("Po Valley Energy") (ASX: PVE) of an update on
activities.  PVE ASX Announcement-18Nov2025
(https://cdn-api.markitdigital.com/apiman-gateway/ASX/asx-research/1.0/file/2924-03024637-6A1297610&v=undefined)
.

 

Po Valley Operations Pty Limited ("PVO"), a wholly owned subsidiary of PVE is
the operator of the Selva Malvezzi production concession, which has a 63%
working interest, while Prospex has the remaining 37% working interest.

 

Highlights

·    3D seismic survey underway to improve geological understanding across
the concession - commenced 13 November 2025 and is expected to be completed by
mid-December, weather permitting.

·    The acquired data will undergo time-domain volume processing,
anticipated to be completed by April 2026, producing a full three-dimensional
subsurface model for future development planning.

·    Successful routine slickline integrity test completed on well PM-1 on
5 November 2025.

o  PM-1 well continues to deliver strong performance from the C2 level,
having produced 61 million scm (2.1 bcf) since first gas on 4 July 2023

·    New noise reduction barriers installed at the Selva gas processing
plant as part of ongoing operational improvement and community engagement
initiatives.

·    Vegetation screening planted along the perimeter of the PM-1
facility.

 

Mark Routh, Prospex's CEO, commented:

"I am very pleased to report that Po Valley Energy continues with the sound
and efficient operation of the Selva Malvezzi Production Concession.  Of
particular note is the progress being made on the 3D seismic survey, which
started on 13 November 2025.  The processed results will optimise the
subsurface drilling targets of the four new wells to be drilled on the Selva
Malvezzi concession.

 

"Production from the PM-1 well at Selva continues at a steady and reliable
rate of ~80,000 scm/d.  Having produced 61 million scm of natural gas since
first production on 4 July 2023, the Prospex 37% share of the remaining
1P/2P/3P net reserves in the PM-1 well are 0.8/4.2/10.3 bcf.  See Table 1
below for further information."

 

3D Seismic Survey Progressing Across Selva Malvezzi

The operator reports that Selva Malvezzi 3D Seismic Survey is currently
underway with the objective of improving our geological understanding across
the concession.  Acquisition commenced on 13 November 2025.

Figure 1 - Vibroseis truck on field performing sweep for 3D Seismic Survey

 

The Joint Venture previously had to rely on legacy 2D seismic data acquired by
ENI in the 1970s-1980s.  With significant advancements in seismic technology
and a broader work program planned for the concession, the operator sought and
received authorisation in April 2025 for a full modern 3D seismic acquisition
program.  Permitting undertaken in September and October 2025 secured
agreement from 1,748 landowners across a 140 square kilometre survey area
covering the municipalities of Budrio, Molinella, Minerbio, Medicina and
Granarolo.

 

Po Valley has appointed a Polish company Geofizyka Toruń, one of Europe's
leading seismic contractors, to conduct fieldwork.  A team of 44 specialists
is now onsite.

 

Fieldwork includes:

·    Deployment and testing of 8,500 wireless receiver nodes.

·    Identification of 5,000 vibration points across the survey area.

·    Receiver placement optimised in consultation with municipalities and
landowners.

·    95% survey coverage achieved despite minor exclusions (swamp zones,
hunting concessions, environmental sensitivity areas, limited non-access
parcels).

·    Data acquisition, commenced on 13 November 2025, performed by single
sweeps from four Vibroseis trucks operating simultaneously in separate
quadrants.  Recording will occur over 10-14 days across a 3-4-week period,
subject to weather conditions.

 

 

Figure 2 - Vibroseis truck in field               Figures 3
& 4 - Vibroseis trucks and wireless geophones

 

The project is progressing according to plan with strong cooperation from
local municipalities, farmers' associations and landowners.

 

Field operations are expected to be completed by mid-December, weather
permitting.

 

The acquired data will undergo time-domain volume processing, anticipated to
be completed by April 2026, producing a full three-dimensional subsurface
model for future development planning.

 

The operator will provide further updates on the activities as these progress.

Successful Slick Line Test at the Podere Maiar-1 Well ("PM-1")

A routine Slick Line integrity test was completed on 5 November 2025 to assess
the condition of the PM-1 well.  The contractor temporarily shut the well and
ran a probe to check for water or sand ingress and to verify downhole
behaviour.

 

 

 

Figure 5 - Slick line operation at PM-1

 

Key outcomes:

·    No water or sand ingress detected.

·    The well continues to behave fully in line with expectations.

·    The well was safely returned to production and reconnected to the
SNAM pipeline.

·    Current production rate restored to approximately 80,000 scm/d.

 

The PM-1 well continues to deliver strong performance from the C2 level,
having produced 61 million scm (2.1 bcf) since first gas on 4 July 2023.
 The C1 level has not been brought onto production.  The Selva Malvezzi
CPR( 1 ) attributed 1P/2P/3P Reserves net and gross and the attributable
remaining reserves in the PM-1 well are shown in the table below.

 

            Gross Reserves (100%)         Net to PVE Reserves (63%)        Net to PXEN Reserves (37%)
 bcf        1P        2P        3P        1P         2P         3P         1P         2P         3P
 CPR        4.1       13.4      29.9      2.6        8.4        18.8       1.5        5.0        11.1
 Remaining  2.1       11.3      27.8      1.3        7.1        17.5       0.8        4.2        10.3

Table 1 - PM-1 Gross and net CPR and remaining Reserves

 

This table does not include the Contingent and Prospective gas Resources from
elsewhere on the Selva Malvezzi Production Concession.

Noise Reduction Works

As part of ongoing operational improvement and community engagement
initiatives, Po Valley has completed a series of noise-reduction upgrades at
the PM-1 gas plant.  Enhancements carried out include the installation of
sound-insulating barriers around the gas compression units, nitrogen tanks and
unidirectional valves.  These upgrades have significantly reduced plant noise
and further strengthened the operator's relationship with neighbouring
landowners.

 

Figures 6 & 7 - Sound barrier installations at the PM-1 Well facility

 

Vegetation Screening Completed

In response to a request from the Municipality of Budrio (EIA), Po Valley has
completed the planting of a new vegetation buffer along the perimeter fence of
the PM-1 facility.  The planting, undertaken in October 2025 following
agronomist advice, comprises six hardy species selected for low-maintenance
requirements and year-round resilience.

The vegetation is expected to mature over the next two years, providing an
effective natural screen and reducing the plant's overall visual impact.

 

Figure 8 - Vegetation planting around perimeter of the site

 

This announcement contains inside information for the purposes of Article 7 of
the Market Abuse Regulation (EU) 596/2014 as it forms part of UK domestic law
by virtue of the European Union (Withdrawal) Act 2018 ("MAR") and is disclosed
in accordance with the Company's obligations under Article 17 of MAR.

 

* * ENDS * *

 

For further information visit www.prospex.energy (http://www.prospex.energy)
or contact the following:

 

 Mark Routh                        Prospex Energy PLC            Tel: +44 (0) 20 7236 1177
 Ritchie Balmer                    Strand Hanson Limited         Tel: +44 (0) 20 7409 3494

Rory Murphy
 Andrew Monk (Corporate Broking)   VSA Capital Limited           Tel: +44 (0) 20 3005 5000

Andrew Raca (Corporate Finance)
 Neil Passmore                     Hannam & Partners             Tel: +44 (0) 20 7907 8500

 Leif Powis
 Ana Ribeiro / Charlotte Page      St Brides Partners Limited    Tel: +44 (0) 20 7236 1177

Notes

Prospex Energy PLC is an AIM quoted investment company focussed on high impact
onshore and shallow offshore European opportunities with short timelines to
production.  The Company's strategy is to acquire undervalued projects with
multiple, tangible value trigger points that can be realised within 12 months
of acquisition and then applying low-cost re-evaluation techniques to identify
and de-risk prospects.  The Company will rapidly scale up gas production in
the short term to generate internal revenues that can then be deployed to
develop the asset base and increase production further.

 

About Selva:

The Selva Malvezzi Production Concession is in the Po Valley region of
northern Italy.  The concession contains the Selva gas-field as well as
exciting exploration and development opportunities.  The Podere Maiar-1 well
at Selva was completed in December 2017 and successfully found a commercial
gas accumulation up-dip of the previous wells on the Selva field.  The
Company has a 37% working interest in the Production Concession held via
Prospex's two wholly owned subsidiaries, PXOG Marshall Ltd (17% of the
Licence) and UOG Italia Srl (20% of the Licence).

The Selva Malvezzi Production Concession holds independently verified 2P gross
proven reserves of 13.4 Bcf (5.0 Bcf net to Prospex at 37% WI) in Selva, gross
Contingent 2C Resources of 14.1 Bcf (5.2 Bcf net) and a further 88.2 Bcf of
gross Best Estimate Prospective Resources (un-risked) (32.6 Bcf net).( 1 )

An independent Competent Person's Report of the Podere Gallina Licence which
was converted into the Selva Malvezzi Production Concession at first gas in
July 2023, was prepared by CGG Services (UK) Limited in July 2022 on behalf of
the joint venture.( 1 )  It attributed a total of 379 MMscm (13.4 Bcf) gross
2P reserves for the Selva redevelopment project.

References:

 1  Source: "Competent Person's Report Podere Gallina Licence, Italy" prepared
by CGG Services (UK) Limited in July 2022 : https://bit.ly/44VF02A
(https://eur03.safelinks.protection.outlook.com/?url=https%3A%2F%2Fbit.ly%2F44VF02A&data=05%7C01%7Cana%40stbridespartners.co.uk%7Ce27db61066ba4edeed3f08db94f7d5a5%7C48b7268319d344289c4b73cf144d89ed%7C1%7C0%7C638267564391602202%7CUnknown%7CTWFpbGZsb3d8eyJWIjoiMC4wLjAwMDAiLCJQIjoiV2luMzIiLCJBTiI6Ik1haWwiLCJXVCI6Mn0%3D%7C3000%7C%7C%7C&sdata=glSh9awfUUAreAZfLeRjoo%2FtRCIsIW2TSML5zO%2FUkew%3D&reserved=0)

 

Glossary:

scm                        Standard cubic metres

scm/d                   Standard cubic metres per day

MMscm               Million standard cubic metres

Bcf                          Billion standard cubic
feet

MMscfd               million standard cubic feet per day

MWh                     Mega Watt hour

TTF                         The 'Title Transfer
Facility' - a virtual trading point for natural gas in the Netherlands.

 

Qualified Person Signoff

In accordance with the AIM notice for Mining and Oil and Gas Companies, the
Company discloses that Mark Routh, the CEO and a director of Prospex Energy
plc has reviewed the technical information contained herein.  Mark Routh has
an MSc in Petroleum Engineering and has been a member of the Society of
Petroleum Engineers since 1985.  He has over 40 years operating experience in
the upstream oil and gas industry.  Mark Routh consents to the inclusion of
the information in the form and context in which it appears.

Appendix

Figure 9 -: Selva Malvezzi Production Concession

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact
rns@lseg.com (mailto:rns@lseg.com)
 or visit
www.rns.com (http://www.rns.com/)
.

RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our
Privacy Policy (https://www.lseg.com/privacy-and-cookie-policy)
.   END  UPDGPGMPGUPAUMR



            Copyright 2019 Regulatory News Service, all rights reserved