Prospex Energy plc has completed construction of the gas plant and connection to the gas grid at the joint venture (JV) Podere Maiar-1 wellsite of the Selva field in the Po Valley, Italy.
ACHIEVEMENT
Following final operational and safety inspections, delivery of gas to the market expected to begin by the end of May.
Po Valley Energy Ltd’s wholly owned subsidiary Po Valley Operations Pty Ltd (PVO) is the operator of the Selva Malvezzi production concession with 63% ownership interest and Prospex has a 37% working interest.
PVO has also started the process of recovering €757,000 performance bond funds (100% basis with €280,090 net to Prospex), previously deposited with Snam, the Italian operator of the gas grid.
Prospex added that construction and grid connection cost incurred a 3% cost difference amounting to approximately €132,000 (100% basis), €48,840 net to Prospex.
Chief executive Mark Routh visited the well site in late April to see the installed equipment and “robust safety culture”.
“The development has been delivered on schedule and within our budgeted contingency, which is a significant achievement with the ongoing supply chain challenges facing the industry generally.”