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Petišovci gas field update

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Oilfield Technology,

European focused oil and gas exploration and production company, Ascent Resources plc has provided an update on the progress made on its Petišovci project in Slovenia.

Well Pg-10

Production from Pg-10 continues satisfactorily and is being sold to a local industrial customer through Ascent Resources’ partner, Geoenergo.

Well Pg-11A

The final downhole portion of the operations to prepare Pg-11A to produce and sell gas has taken slightly longer than initially anticipated. In order to remove the bottom plug, it has been necessary to procure a coiled tubing unit from outside of Slovenia, which is expected to be on site in the next week. This work is then expected to take a few additional days.

As the well was fully cleaned up following the extended flow test in 2012, once the work-over is complete an additional clean-up and flow test is not required. Therefore, once ready, Ascent Resources will immediately connect the well to the infrastructure, enabling gas to be produced for sale.

Infrastructure for delivering gas

The completion of the necessary infrastructure is progressing well. The line from the CPP to the export line has been successfully refurbished and pressure tested, and we now expect to receive the operational certificate from the Slovenian authorities in July 2017.

Refurbishment of the separation equipment at the CPP is also at an advanced stage and the refurbished separator is due to be installed in July. This is a few weeks later than had been originally planned due to the late delivery of one of the component parts.

The customer, INA, is due to complete the recertification of its pipeline on the Croatian side of the border in time to receive Petišovci gas, which we now expect to commence at the end of July 2017.

Colin Hutchinson, CEO, commented: "While any slight delay is frustrating, it is not unusual for a project of this type. I am pleased with the progress that has been made and look forward to increasing our gas production through supply to INA and bringing Pg-11A online in the near future".

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