Ascent spuds well in Slovenia

23rd Jun 2011 14:13

AIM-listed onshore oil and gas group Ascent Resources has commenced drilling at the second redevelopment well of its Peti?ovci Project in Slovenia, which could increase gas estimates significantly.Shares were trading 3.82% higher at 3.40p as of 14:28 on Thursday afternoon.The Pg-10 well's objective is to confirm the reservoir quality and commerciality of the Middle Miocene reservoir section, and to "further delineate the substantial new deeper reservoir which was recently discovered by the Pg-11 well," the group said.Early estimates suggest that these newly-discovered reservoirs could increase the P50 (probable reserves) gas estimates by over 50%.Furthermore, Ascent said that, "the deeper Miocene pay section in Pg-11A has better reservoir characteristics than the thinner sands, which produced a total of 8 Bcf of gas from the Pg-1 and Pg-5 wells at initial rates of 1.5 and 2.5 MMcfd in 1987."Ascent's managing director Jeremy Eng said, "This intensive work programme is expected to lead to the successful re-development of significantly bigger reserves than initially predicted and from a field that is now becoming one of the largest under-exploited onshore European gas fields."Through the wholly-owned subsidiary Ascent Slovenia, the group has a 75% interest in the Peti?ovci Project.