Quarterly Activities Report for the Period Ended 31 December 2023
Prospex Energy PLC (AIM: PXEN), the AIM quoted investment company focused on European gas and power projects, is pleased to provide an activity report from the Selva Malvezzi production concession in Italy following the publication of the quarterly report by Po Valley Energy Limited (“Po Valley Energy”) (ASX: PVE). 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
· The Podere Maiar-1 well at Selva (“PM-1”) has performed very consistently during the confirmatory program carried out in Q4 2023.
· Production levels were tested at various rates from ~42,000 scm/d to ~62,000 scm/day during the quarter.
· Following favourable final test results in January, production has been set to ~78,000-80,000 scm/d post-quarter end.
· PM-1 is supplying the gas to BP Gas Marketing under an 18-month supply agreement.
· Gas prices remain volatile with the current TTF spot price of ~€0.325/scm which is ~19% lower than the €0.40/scm weighted average price received during the quarter.
· Quarterly production on a 100% basis was 4,180,015 scm of gas (1,546,605 scm net to Prospex) and revenue for the quarter ending 31 December 2023 on a 100% basis was €1,773,302 (€656,122 net to Prospex).
· The operator is progressing with the other projects in the Selva Malvezzi production including very positive interactions with local landowners and progressing the permitting process with the regulatory authorities. Following a successful project of reprocessing the existing 2D seismic lines in the production concession, the Joint Venture is now evaluating the potential for a new seismic acquisition programme over the licence area in order to optimise the drilling programmes of the identified contingent resources at Selva North, Selva South and the East Selva and Riccardina prospects.
Mark Routh, Prospex’s CEO, commented:
“The operator of our Selva Malvezzi production concession, Po Valley Energy, continues with the sound reservoir management of the asset. The ongoing monitoring and maintenance of the production facilities and the well performance ensures it not only delivers the optimum gas production rates but moreover guarantees safe and reliable operations.
“I look forward to updating shareholders as we progress the necessary activities to secure the development drilling programmes for the contingent resources at Selva North and Selva South and for the target of converting prospective resources at East Selva and Riccardina into proved, developed and producing reserves.”
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.
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For further information visit www.prospex.energy or contact the following:
Mark Routh
Prospex Energy PLC
Tel: +44 (0) 20 7236 1177
