Ascent Resources Regulatory News (AST)

10 Sep 2007 13:00

Ascent Resources PLC10 September 2007 Ascent Resources plc / Epic: AST / Index: AIM / Sector: Oil and Gas 10th September 2007 Ascent Resources plc ('Ascent' or the 'Company') Finalises Hungarian Joint Venture with MOL RT Ascent Resources plc, the AIM traded oil and gas exploration and productioncompany, through its 90% owned Hungarian company PetroHungaria kft, has signed aJoint Development and Joint Operating Agreement with Hungarian company MOL, forthe redevelopment of the Bajcsa Gasfield in south western Hungary. Theredevelopment project is designed to recover additional gas reserves through thehorizontal recompletion of existing wells. The Bajcsa field is 6 kilometres south of Nagykanizsa near the HungarianCroatian border. It was originally brought on stream in 1961 and has producedfrom over 20 wells. The field has seven stacked reservoirs with the majority ofproduction coming from two, VII/b and III. Total production to date is circa470 million cu. m (16.6 Bcf). The horizontal recompletions, to be drilled fromthe existing vertical wells, are designed to significantly increase productionrates and recover gas from un-depleted parts of the reservoirs. It is plannedto drill the first two horizontal recompletions towards the end of 2007.Importantly, because the field is already on production, gas from these wellscan immediately be delivered to market. The Joint Venture has already completed extensive reservoir and horizontal wellstudies and will jointly plan and implement the drilling of the new wells, whichwill use Rotary rigs already under contract to MOL. Incremental production willbe shared between MOL and PetroHungaria. Ascent's Managing Director Jeremy Eng said, "This project has many importantelements; By working in an existing producing field it will provide additionalproven reserves to the Group; it has the ability to immediately sell producedgas without having to wait on new development approval and there are othersimilar opportunities in the surrounding area, not least of which is one of theAscent operated Slovenian gas project at Petisovci Globocki." * * ENDS * * For further information visit www.ascentresources.co.uk or contact: Jeremy Eng Ascent Resources plc Tel: 020 7251 4905Hugo de Salis St Brides Media & Finance Ltd Tel: 020 7242 4477 Notes: Ascent Resources has a portfolio of over 20 gas and oil projects across sixcountries in Europe. The projects are onshore in Italy, Switzerland, Hungary,Spain, Slovenia and offshore Netherlands. The Company operates Spain's onlyonshore oilfield where production currently averages over 110 barrels of oil perday. With the stable European gas market, Ascent's portfolio favours gas overoil. With the exception of the Netherlands, all of its projects are locatedonshore where operating and development costs are substantially lower than theyare offshore. This information is provided by RNS The company news service from the London Stock Exchange