|Term||10 years, renewable|
|Net Value 1||€3M (based on gas price assumption of 0.31 EUR per m3)|
1 Net value re-assessment is ongoing, based on updated price and cost scenario.
The Rapagnano concession is located in the Ascoli Piceno Province, Marche Region, in central Italy. Geologically the area is within the Ancona-Pescara Basin associated to the Central Apennine fore deep.
The Rapagnano field was discovered by ENI in 1952, which found gas in lower «Sabbie» sand reservoir. The field produced 116 Mm3 (approximately 4.1 Bcf) which was exported to the high-pressure national grid. In 2001, after work over activities, ENI decided to relinquish the concession. Sound Energy took over in 2012 and a successful coil tubing operation restored the well’s productivity. The Rapagnano processing facilities were then upgraded and in 2013 gas production was resumed by connecting the well to a low pressure local export grid.
Since gas production from Rapagnano was restored in 2013, cumulative production until December 2016 reached 12.4 MSmc (0.43 Bcf). Production performance is related to seasonal demand and it varies between a maximum in wintertime and a minimum in the summer. In 2016, the yearly sales gas volume is nearly 3.5 Mm3 (0.12 Bcf).
In Sound Energy’s most recent reserves assessment, carried out in December 2015, the remaining proven reserves (1P) are approximately 1 Bcf.
Sound Energy has just successfully entered a 12-month Gas Sales Agreement until September 2017.