(Alliance News) - Shares in Ascent Resources PLC fell Thursday as it threatened legal action over further permitting problems in Slovenia.
Ascent was trading at 0.27 pence a share in morning trade, down 16%.
Ascent said a report has appeared on the Slovenian government website suggesting a permit to re-stimulate the Pg-10 and Pg-11A wells has been denied.
No official confirmation has been received, Ascent said, but if true, it will seek damages for both money spent on the wells and the loss of future value, which could among to EUR50 million.
Chief Executive Colin Hutchison said: "This is a deeply disappointing and flawed decision which again has been communicated to the media before the partners had been informed. If the decision is officially confirmed, the board will consider next steps including legal action."
This is the latest in a long line of problems for Ascent in Slovenia, despite it in April getting a long-awaited integrated pollution prevention & control permit for the Petisovci project. This will enable it to install a small processing facility at the site.
It had, however, applied for the permit as long as five years ago.
In March, Ascent said it would be appealing against a request from the Slovenian government for an environmental impact assessment for the re-stimulation of Pg-10 and Pg-11A, which are on Petisovci.
Ascent Resources (AST)