Prospex Energy, the AIM quoted investment company focused on European gas and power projects, provides an operational update from the Podere Maiar-1 ("PM-1") well site of the Selva field, which is operated by Po Valley Operations Pty Limited ("PVO"), a wholly owned subsidiary of Po Valley Energy.

Po Valley Energy has a 63% working interest of the Selva Malvezzi production concession, while Prospex has the remaining 37% working interest.

Highlights

• After six months of strong gas production, PVO has confirmed that the well is continuing to perform as expected. 
• The commissioning and testing period undertaken by PVO has defined optimal well performance and PVO has confirmed that the testing was successfully undertaken at various production levels.
• Slick line work programmes have been completed to monitor well behaviour and any accumulation of debris.
• Production volumes testing will continue over the next four weeks at ~78,000 scm/d to 80,000 scm/d to be followed by another slick line operation programme before a long-term flow rate is set.
• This confirmatory period allows the PVO team to determine the optimal flow rate to ensure no debris accumulation and to establish the most efficient rate of production for the long term.  As a precaution, a Surface Sand Detector is expected to be installed which will provide added protection to the gas plant.
• Further upside potential at the Selva Malvezzi production concession is advancing at pace, with the operator progressing agreements with local landowners and the permitting process with the regulatory authorities in order to deliver the drilling programmes at Selva North, South and East.

Mark Routh, Prospex's CEO, commented:
"The operator of our Selva Malvezzi production concession, Po Valley Energy, is continuing with the diligent monitoring and maintenance of the well performance and production facilities to ensure a safe and reliable income stream from the asset.

"Prospex is working together with the Po Valley Energy team and using the production income to progress the necessary activities to secure the development drilling programmes for the contingent resources at Selva North and Selva South and, for the target of converting prospective resources at East Selva into proved, developed and producing reserves in the near term.

KeyFacts Energy:   Po Valley Energy Italy country profile   l   Prospex Oil and Gas Italy country profile