Saffron Energy PLC Sant' Alberto Production Concession Award (7830T)
October 17 2017 - 1:00AM
UK Regulatory
TIDMSRON
RNS Number : 7830T
Saffron Energy PLC
17 October 2017
17 October 2017
Saffron Energy Plc
("Saffron" or "Saffron Energy" or the "Company")
Saffron Energy Awarded Sant' Alberto Production Concession
Saffron Energy, the AIM quoted European natural gas company, is
pleased to announce that it has been awarded a Production
Concession for its Sant' Alberto gas field from the Italian
Ministry of Economic Development.
The Sant' Alberto licence covers an area of 19.51 km(2) and is
located close to the Sillaro field. It requires a simple
development, involving the installation of a modular gas processing
facility and connection of this gas processing facility to the
Italian national grid. The processing facility will comprise of a
separation and hydration system, nitrogen generation and a
tank/vent. Completion of this development and first production is
expected during the first half of 2018.
The Sant' Alberto production concession has 2P Reserves of 2.0
billion cubic feet (bcf) (59.5 Million metric standard cubic metres
(MMscm)) and production capability is expected to peak at around
29,500 standard cubic metres (scm) / day.
Saffron Energy's portfolio currently comprises of three granted
production concessions (link to map
https://saffronenergy.co.uk/operations/strategy/ ):
- the Sillaro Gas field near Bologna, which is currently
producing from a single level with a daily rate averaging between
5,000 to 10,000 scm /day;
- the Bezzecca Gas field located near Milan, which commenced
production in April 2017 from one well; and
- the Sant' Alberto Gas field, which expects first gas in 2018.
Saffron has an offtake agreement with Shell Energy Italia S.r.l,
- a subsidiary of Shell, for all gas produced from the Company's
fields, which goes directly into the Italian national grid, which
is owned and operated by SNAM Rete Gas S.p.A.
About Saffron Energy
Saffron Energy is a natural gas producer with interests in
Northern Italy. Its portfolio includes two gas production fields:
Sillaro (100%), Bezzecca (90%) and another gas field Sant' Alberto
(100%), which is under development. All of Saffron's assets are
located near Milan and Bologna. Saffron Energy commenced trading on
the London AIM Market under the ticker of SRON on 24 February
2017.
On 5 October 2017, Saffron entered into a non-binding
conditional heads of terms with Sound Energy Plc and Po Valley
Energy Limited, to acquire both of their portfolios of Italian
interests and permits. The Proposed Transaction, which is subject
to shareholder approval, would increase Saffron's current
production and revenue stream, adding significantly larger assets
to the current portfolio.
These would include two additional producing gas fields from
Sound Energy's Italian portfolio (the Rapagnano Gas Field and Casa
Tiberi Gas field), as well as the large near-term gas development
fields from Po Valley: Selva (2C 17bcf) located onshore in the
Emilia Romagna Region and Teodorico which is located in the
northern Adriatic sea (2C 47.3 bcf). The proposed transaction would
ultimately strengthen Saffron's position as a mid-cap regional gas
producer and explorer in Southern Europe.
The information contained within this announcement is deemed to
constitute inside information as stipulated under the Market Abuse
Regulations (EU) No. 596/2014. Upon the publication of this
announcement, this inside information is now considered to be in
the public domain.
For more information, please visit www.saffronenergy.co.uk or
contact the following:
Saffron Energy plc
Michael Masterman, CEO +44 (0) 7791288381
info@saffronenergy.co.uk
Grant Thornton UK LLP (Financial
& Nominated Adviser)
Colin Aaronson +44 (0) 207 383
Harrison J Clarke 5100
Turner Pope Investments (TPI)
Ltd (Broker)
Ben Turner +44 (0)2036214120
James Pope info@turnerpope.com
Andy Thacker
Cassiopeia Services PR/IR
Stefania Barbaglio +44 (0) 7949690338
Stefania@cassiopeia-ltd.com
This information is provided by RNS
The company news service from the London Stock Exchange
END
MSCEASEXFALXFEF
(END) Dow Jones Newswires
October 17, 2017 02:00 ET (06:00 GMT)
Saffron Eng (LSE:SRON)
Historical Stock Chart
From Apr 2024 to May 2024
Saffron Eng (LSE:SRON)
Historical Stock Chart
From May 2023 to May 2024