Last checked at 20 Apr 2009 07:00
Ascent Resources plc / Epic: AST / Index: AIM / Sector: Oil and Gas
20th April 2009
Ascent Resources plc ('Ascent' or 'the Company')
Hungarian Update
Ascent Resources plc, the AIM-traded oil and gas exploration and production company, through its subsidiary PetroHungaria kft ('PetroHungaria'), has successfully completed and tested the PEN-104A side track of the PEN-104 gas producing well in the Penészlek area of the Nyírség permits of eastern Hungary. The Company expects production at the well to commence in the coming days following disassembling of the drilling rig and reconnection of the flow line.
Drilling of the PEN-104A target reservoir sands was completed as anticipated and during a short period of clean-up flow, the well produced gas at an estimated rate of approximately 70,000 Sm3 per day (approximately 2.5 MMscfd). Ascent holds a 45.23% interest in the Penészlek Project through its equity interest in PetroHungaria. Other partners include DualEx (37.5%), Geomega (8%), Leni Gas & Oil (7.27%) and Swede Resources (2%).
Ascent Managing Director Jeremy Eng said, "This is an excellent development for Ascent's Hungarian operations and a boost to our production profile. We are particularly pleased with the efficient manner in which the PetroHungaria operations team completed this complex deviated well on time and according to plan. The success of PEN-104A also gives us great confidence in the 3-D seismic data from which this side track project was initially conceived as we continue to plan the drilling of further wells in the area of the 3-D acquisition."
Additionally in Hungary, Ascent, under the terms of the JOA on the Szolnok exploration licence which expired on the 19th March 2009, has assigned its residual 12.5% interest to its joint venture partners. The joint venture partners have a one year period after the expiration of the licence to prepare a closing report and to apply for mining plots for areas which have proven hydrocarbons should they wish to develop them.
The technical information contained in this release has been reviewed and approved Dr Clive Ninnes, Ascent's Engineering Manager. Dr Ninnes, a member of SPE has 28 years relevant experience in the evaluation of hydrocarbon resources.
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Glossary
Nm3 Normal cubic metres of gas
MMscfd Millions of standard cubic feet of gas per day
3-D seismic High resolution seismic processed in three dimensions
JOA Joint Operating Agreement
SPE Society of Petroleum Engineers
For further information visit www.ascentresources.co.uk or contact:
| Jeremy Eng | Ascent Resources plc | Tel: 020 7251 4905 |
| Hugo de Salis Chris Welsh | St Brides Media & Finance Ltd St Brides Media & Finance Ltd | Tel: 020 7236 1177 Tel: 020 7236 1177 |
| Max Hartley | Cenkos Securities plc | Tel: 020 7397 8924 |
Notes
Ascent Resources plc has a diversified portfolio of some 20 hydrocarbon exploration and development projects across five countries in Europe: Italy, Switzerland, Hungary, Slovenia and Netherlands. Ascent's portfolio contains a solid base of field redevelopment projects with selected exposure to exploration upside. The portfolio is focussed on gas and with the exception of the shallow water Netherlands project, all of its projects are located onshore where operating and development costs are substantially lower than they are offshore. In October 2008, Ascent agreed with San Severina Holdings SA, a Swiss based investment company, to establish an oil and gas asset management joint venture. The joint venture will acquire minority interests and providing investment funding for producing and development or appraisal stage oil and gas projects.