Prospex Energy plc (AIM: PXEN) has reported record gross monthly revenue of €795,800 across its portfolio as the company advances development programmes in Italy, Spain and Poland.
A key milestone has been reached at the Selva Malvezzi gas field in Italy, where the Ministry of Environment and Energy Security has declared the Environmental Impact Assessment for a proposed four-well drilling programme admissible.
The application has now entered a 60-day public consultation period, moving Prospex another step towards its planned 2027 drilling campaign.
Meanwhile, strong European energy prices have boosted revenues at both Selva Malvezzi and the El Romeral power operation in Spain.
Highlights
- Record gross monthly portfolio revenue of €795,800 reported.
- Italy’s environment ministry has declared the Selva Malvezzi four-well EIA admissible, triggering a 60-day public consultation period.
- Selva achieved a realised gas price of €0.67 per standard cubic metre in August, delivering record gas-sales revenue for the field.
- A new 12-month gas sales agreement with Hera Trading begins on 1 October 2026.
- Preliminary results from Selva’s recently completed 3D seismic survey have been delivered by Schlumberger Italy ahead of detailed interpretation and selection of 2027 drilling locations.
- A new Competent Person’s Report is planned following completion of the seismic interpretation.
- El Romeral generated €179,400 of electricity revenue during August and has become cash self-sufficient.
- Viura-1B achieved 92 consecutive days of production with no shut-ins and 100% plant availability during Q2.
- Work continues on Prospex’s Polish licences, including development planning for the Mniszów oil discovery.
- Prospex is seeking development partners capable of providing non-dilutive funding for its 2027 growth programme.
Selva Malvezzi Clears Important Permitting Stage
Prospex’s Italian operations delivered one of the most significant developments in the update.
Italy’s Ministry of Environment and Energy Security, known as MASE, has confirmed that the Environmental Impact Assessment covering the proposed four-well drilling programme at Selva Malvezzi is admissible.
A 60-day period for public observations is now underway.
The permitting progress comes as Selva benefits from strong European gas prices. Prospex achieved an average realised price of €0.67/scm during August, helping the field deliver record gas-sales revenue.
The company has also signed a new 12-month gas sales agreement with Hera Trading, commencing on 1 October 2026.
Preparations for further development are progressing in parallel.
Schlumberger Italy has delivered a preliminary dataset from the recently completed 3D seismic survey, which will now undergo detailed interpretation to determine drilling locations for the planned 2027 campaign.
Once that work is complete, Prospex intends to commission an independent Competent Person’s Report to assess and verify the natural gas resources across the licence.
El Romeral Reaches Cash Self-Sufficiency
Prospex also reported improving financial performance from the El Romeral power operation in Spain.
Electricity generation revenue reached €179,400 during August, supported by consistent production and stronger electricity prices.
As a result, operator Tarba Energía has become self-sufficient on a cash basis.
Further cost savings are expected when the existing rental transformer is replaced with Prospex’s own transformer during September.
The final payment for the new equipment is due during the fourth quarter and will be covered from existing cash resources.
Viura Delivers 100% Q2 Plant Availability
Operational performance at the Viura gas field remained strong.
Viura-1B produced continuously for 92 days during the second quarter, recording no shut-ins and achieving 100% plant availability.
Field operator HEYCO Energia Iberia generated €4.15 million of cash revenue during Q2, against cash operating expenditure of €3.59 million.
Planning is already underway for the next stage of development.
This includes testing the water-injection capability of the currently shut-in ST3 well from the fourth quarter of 2026 and evaluating the potential drilling of another development well during 2027.
Mniszów Oil Discovery Under Evaluation
In Poland, Prospex continues to assemble and assess historical technical data covering its San and Dunajec licences.
Particular attention is being given to the Mniszów oil discovery on the Dunajec licence, including potential well and completion designs.
Prospex is evaluating advanced completion techniques intended to maximise the discovery’s potential while strengthening the technical case for discussions with prospective development partners.
A site visit to both licence areas is planned for mid-September.
Non-Dilutive Funding a Priority for 2027
Chief executive Tom Reynolds said record revenue from the portfolio and El Romeral’s move towards cash self-sufficiency provide Prospex with greater flexibility to invest elsewhere in the business.
He said the company is now focused on identifying partners capable of providing non-dilutive capital to help fund and accelerate its 2027 development programme while limiting dilution for existing shareholders.
Prospex will provide investors with a further update on its Polish portfolio, including the Mniszów oil discovery, through an Investor Meet Company presentation scheduled for 21 September 2026.
With record monthly revenue, improving cash generation and Selva’s four-well programme progressing through the Italian permitting process, Prospex enters the remainder of 2026 with several potential development catalysts across its European portfolio.
