Business
PEN-104 Update
PEN-104 Update.
About this update from Ascent Resources Plc
[{"type":"text","content":"\n RNS Number : 0115M Ascent Resources PLC 21 January 2009 \n \nAscent Resources plc / Epic: AST / Index: AIM / Sector: Oil and Gas\n21 January 2009\nAscent Resources plc ('Ascent' or 'the Company')\nPEN-104 Update\n\nAscent Resources plc, the AIM-traded oil and gas production and exploration company, is planning to sidetrack its PEN-104 gas production well in the Penészlek area of the Nyírség exploration permits of eastern Hungary. The well has been shut-in temporarily due to the failure of a compressor at the gas processing facility which resulted in unusually high export pipeline pressures. Repairs to the compressor that will reduce the pipeline pressure to its normal operating range are not expected to be completed until March 2009. \n\nPetroHungaria kft, in which Ascent holds a 45.23% interest, operates the well and expects that a 450m sidetrack of the well will substantially increase the potential recoverable gas in addition to reducing the amount of water produced by the well. Subject to permitting and rig availability, the side-tracked PEN-104 well could be ready to produce gas by the time the pipeline pressure is expected to return to normal in March. The sidetrack opportunity has been identified from the analysis and interpretation of the 3-D seismic survey which was acquired in November 2008. The other partners in the Penészlek Project are DualEx (37.5%), Geomega (8%), Leni Gas & Oil (7.27%) and Swede Resources (2%).\n\nIn addition to this opportunity, the partners are considering four other development projects. These include the sidetracking of the PEN-102 well, the re-drill of PEN-9 and PEN-12, and a new well south of PEN-12. The PEN-102 well was drilled and suspended by PetroHungaria in 2007 and its sidetrack is planned to be drilled after the PEN-104 sidetrack, and the other wells are expected to be drilled in Q3 or Q4 2009.\n\nThe new seismic shows that neither the existing PEN-9 or PEN-12 wells are situated in an ideal location for producing their associated reserves, although a side...