PERTH (miningweekly.com) – ASX-listed gas producer Po Valley Energy has welcomed a new project partner to its Podere Gallina project, in Northern Italy.
The company has inked a farm-in agreement with Aim-listed Prospex Oil and Gas, which would see the London-listed company earn a 17% interest in the licence in exchange for funding 34% of the costs to complete the Podere Maiar-1 well, which will start drilling in mid-November.
Prospects will join Po Valley’s existing partner United Oil and Gas on the Podere Gallina project.
In total, United and Prospects will cover 74% of the estimated completed well costs.
The Podere Gallina licence contains the Selva natural gas field, which historically produced 83-billion cubic feet of gas over a 35-year period. Po Valley holds an 80% stake on both the Selva field and the Selva East prospects, which have an estimated 2C resource of 17-billion cubic feet.