Sound Oil Upgrades Recoverable Volume of the SMG

By Joseph R. Fonseca
Tuesday, July 15, 2014
James Parsons, Sound Oil's Chief Executive Officer

 

Sound Oil, the European / Mediterranean focused upstream oil and gas company, achieved a significant upgrade in the recoverable volume of the Santa Maria Goretti ("SMG") gas prospect, onshore Italy.
 

The onshore SMG Permit sits in the Marche Region in Central Eastern Italy, covers an area of 101km2 and is owned 100% by Sound Oil.  The SMG Permit area contains the southern extension of two significant producing gas fields, from 4 wells, which are owned by ENI and Edison in the adjacent permit and have been producing for over 30 years. The main reservoirs for the SMG area are the Thin Beds and Level-1, both belonging to the Lower Pliocene Cellino formation.

CGG Robertson have completed a full independent Competent Person's Report ("CPR") of this asset.  The CPR confirms the Company's plans to drill one exploration well and one contingent development well addressing primarily the shallow Thin Beds, with the deeper Level-1 as a secondary objective.

The CPR has estimated Gas Initially In Place ("GIIP") as 66.4Bscf and recoverable Best Estimate Prospective Resources as 32.8Bscf.  The study has also estimated a 68% geological chance of success for the Thin Beds objective.

Based on a 2014 gas price of Euro 32 cents/cbm, the unrisked Best Estimate NPV10 is estimated to be Euro 52.4 million (with Euro 43.5 million at Euro 28 cents/cbm and Euro 34.6 million at Euro 24 cents/cbm).  
 
James Parsons, Sound Oil's Chief Executive Officer, commented, "This CPR uplifts the Company's previous resource estimate by 82% and confirms the addition of a further low risk, yet hugely material, asset into Sound Oil's Italian onshore gas portfolio.  The top hole location has already been identified and an application to drill will be submitted to the permitting authorities shortly, with a view to drilling during 2015."
 
Sound Oil

Maritime Reporter November 2014 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

Energy

Oil is on the Rise

Oil prices rose in early trading on Monday as Asian markets opened strongly into a holiday-shortened week and as consensus spread that Brent crude prices would

Fighting for Ports Escalates in Libya

Military planes loyal to Libya's recognised government attacked on Sunday an opposing force that is seeking to seize the country's two biggest oil ports, officials said.

Security Threat in Yemen Shuts CNOOC's Nexen Facility

CNOOC Ltd's Nexen unit is shutting operations at an oil field and processing facility in Yemen due to a security threat, a Nexen spokeswoman said on Sunday.   The

News

Port Workers in Argentine Grain Hub End Strike

Port workers in part of the Argentine grains hub of Rosario lifted a work stoppage on Friday, only a day after they went on strike over demands for higher year-end bonuses, a union official said.

Madsen to Chair Norway’s Research Council Executive Board

Henrik O. Madsen appointed chairman of the executive board of the Research Council of Norway   DNV GL president and CEO Henrik O. Madsen was appointed as chairman

Larger Tankers May Offer Better Return Chances

Investors looking for returns in the tanker markets can invest their capital in a variety of ways. Should an owner invest in a VLCC or an Aframax? How about an

 
 
Maritime Careers / Shipboard Positions Maritime Contracts Maritime Security Offshore Oil Pipelines Port Authority Salvage Ship Electronics Sonar Winch
rss | archive | history | articles | privacy | terms and conditions | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.1066 sec (9 req/sec)