logo-loader
viewPo Valley Energy Limited

Po Valley Energy commencing gas production from Bezzecca well

The company recently extended its offtake contract with Shell Energy Italia.

shutterstock_30317515.jpg
Production target of 30,000-35,000 cubic meters of gas per day

Po Valley Energy (ASX:PVE) is starting commercial gas production from the Bezzecca well east of Milan in Italy, following the testing of the primary production layers.

The company is planning to start production at 20,000-25,000 cubic meters per day up to the end of June, with production levels increasing to 30,000-35,000 from early July.

The Bezzecca gas field is within the prolific gas producing Po Valley region in northern Italy.

Gas from the now-producing Bezzecca 1 well is processed at the Vitalba processing plant and directly connected to the national grid.

Po Valley’s Italian subsidiary Saffron Energy (LON:SRON) recently extended its offtake contract with Shell Energy Italia to supply natural gas from Saffron’s Italian gas fields.

Saffron has been supplying Shell Energy Italia with natural gas for the last four years.

The new contract has been extended to October 2018, with an option to extend it for a further year to October 2019.

Po Valley had spun out its northern Italian gas assets to Saffron Energy by listing it on the London Stock Exchange Alternative Investment Market (LSE AIM).

Po Valley had a cash balance of $1.63 million as at 31 March 2017. Subsequently, it raised $1.18 million from a private placement in April.

The company’s share price increased circa 30% in the past one month, last trading at $0.03.

 

Quick facts: Po Valley Energy Limited

Price: 0.051 AUD

ASX:PVE
Market: ASX
Market Cap: $32.46 m
Follow

Add related topics to MyProactive

Create your account: sign up and get ahead on news and events

NO INVESTMENT ADVICE

The Company is a publisher. You understand and agree that no content published on the Site constitutes a recommendation that any particular security, portfolio of securities, transaction, or investment strategy is...

In exchange for publishing services rendered by the Company on behalf of Po Valley Energy Limited named herein, including the promotion by the Company of Po Valley Energy Limited in any Content on the Site, the...

FOR OUR FULL DISCLAIMER CLICK HERE

2 min read