Prospex Energy plc, the AIM quoted investment company focused on European gas and power projects, is pleased to provide an update from the Selva Malvezzi production concession in Italy following the publication by Po Valley Energy Limited ("PVE") (ASX: PVE) of its Q1-2025 activity report. Po Valley Operations Pty Limited ("PVO"), a wholly owned subsidiary of PVE is the operator of the Selva Malvezzi production concession, which has a 63% working interest, while Prospex has the remaining 37% working interest.
Highlights
· Steady gas production from the Podere Maiar-1 well at Selva ("PM 1") for the quarter averaging 77,292 scm/d continuing to meet predicted levels of production.
· Robust gas prices with the average weighted gas sales price for the quarter at €0.50/scm due to strong market conditions.
· Gross quarterly production of 6.724 MMscm of gas (Q4-2024: 7.323 MMscm), with 2.488 MMscm net to Prospex (Q4-2024: 2.709 MMscm).
· Gross revenue for the quarter of €3.338 million (Q4-2024: €3.38 million), with €1.235 million net to Prospex (Q4-2024: €1.25 million)
· PM-1 continues to sell gas to BP Gas Marketing.
Broader Selva Development Program - Multi-well drilling program and 3D geophysical survey
· Drilling applications for four new wells in the Selva Malvezzi production concession and Environmental Impact Studies were submitted in 2024 with relevant departments. The operator awaits the outcome of these and expects further interaction with the relevant departments within the Ministry will be required as is standard in these processes.
· Preparation for the 3D geophysical survey acquisition on the Selva Malvezzi Production Concession progressed during the quarter. Regional INTESA approval to commence work was received during the period along with final authorisation from MASE for the geophysical campaign , which was received post quarter end.
· Field activities including the seismic acquisition and campaign are planned for the end of September, beginning of October 2025 as per guidance received from the landowners and relevant Farmer's associations to accommodate the late summer harvest.
Mark Routh, Prospex's CEO, commented:
"I am pleased to report that Po Valley Energy, the operator of our Selva Malvezzi Production Concession continues to maintain, safe and steady gas production and revenues.
"The operator continues with the preparatory work to drill four further wells on the concession on which the permit applications are progressing well. Also, it is good to have confirmation of the timing of the planned 3D seismic survey to be acquired across the concession in September/October 2025. This survey will be acquired, processed and interpreted quickly in order to optimise the subsurface drilling targets of the four new wells.
"The Company's investment in the Selva Malvezzi production concession continues to deliver strong value to shareholders."