Prospex Energy approved for seismic campaign at Selva field, targeting 4 new wells
() , an investor in European gas and power projects, issued an update on its Selva Malvezzi production concession in northern Italy, containing the PM-1 gas facility. Prospex has a 37% working interest in Selva and operator Po Valley has the remaining 63%.
Prospex said its planned 3D seismic campaign at Selva has been formally greenlit by the Emilia Romagna Regional Council. With the regional approval, can commence works under the programme, which covers the entire Selva Malvezzi production concession area.
The seismic programme is an integral part of 's ongoing development at Selva, which envisages the drilling of 4 new wells on the concession, building on the current Podere Maiar-1 well, which produced 7.02 MMscm of gas (2.6 MMscm net to ) and gross revenue of €2.76m (€1.02m net to ) in Q3 2024.
Mark Routh, Prospex's CEO, commenting: "I am very pleased to report that Po Valley Energy, the operator of our Selva Malvezzi Production Concession, has received approval from the local regional authorities to proceed with the 3D seismic acquisition programme. This is a crucial step in achieving full regulatory approval for the campaign so that acquisition can commence very shortly."
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Prospex has received regulatory approval to begin its 3D seismic programme at Selva field, northern Italy. The campaign is expected to take no more than 3 weeks, and the resulting dataset will be processed early in H1 2025 to refine the drilling targets for 4 planned wells - two development wells and two exploration wells targeting contingent and prospective resources respectively.
The wells are expected to receive drill permits in H2 2025, targeting a total of 88 Bcf gross (33 Bcf net to ). Funding for the 3D seismic campaign is fully covered from 's accumulated production revenues.
Meanwhile, Prospex continues to receive steady income from the existing PM-1 well on the concession. Average production in Q3 was 76,910 scm/d, in line with the previous quarter after the facility ramped up to nameplate capacity earlier in the year. A routine slick line operation carried out in September 2024 yielded results in line with expectations, confirming average daily production of 80,000 scm/day for the foreseeable future.
PM-1 continues to deliver strong revenues under its contract with BP Gas Marketing, underpinned by steadily rising gas prices over the past year. The four planned wells hold significant upside starting less than a year from now, judging from the success of PM-1.
Additionally, last summer's annulment of Italy's 'Plan of Areas', which had previously limited the extent of hydrocarbon exploration and production, represents further potential upside at Selva and future assets within the country.
remains cash generative, with no debt, and well-positioned for further growth.
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