|Term||20 years, renewable|
|Net Value||Under assessment|
The San Lorenzo permit is located in central Italy near Ancona, in Marche region, within the foredeep trough of the Central Apennines. The principal hydrocarbon plays consist of biogenic gas in clastics within the shallow Pleistocene-Pliocene section and thermogenic gas in the deeper Miocene and older carbonates.
A dry well, Monsano-1, was already drilled in the permit area in 1972, but a re-interpretation of seismic data carried out by Sound Energy in 2009 determined that the well had been drilled off-structure. In November 2011, Casa Tiberi-1 was drilled, targeting Lower Pliocene Cellino sands, at the crest of a seismic amplitude anomaly. The well encountered 14.9 m gross (3.9 m net) of hydrocarbon pay. After the well was completed and successfully tested, development activities were completed with new process facilities and an export line to a low-pressure local system.
Gas production from Casa Tiberi 1 commenced in 2013 and reached a cumulative production of 3 Mm3 (0.1 Bcf) in December 2016. Yearly sales gas volume is nearly 1.2 Mm3 (0.04 Bcf) as of December 2016.
In Sound Energy’s most recent reserves assessment, carried out December 2015, the remaining proven reserves (1P) are estimated at 0.1 Bcf.
A 12-month Gas Sales Agreement has just been signed to secure sales volumes until September 2017.