By OGJ editors
HOUSTON, Sept. 22 -- SARP SRL has signed a farmout agreement with Mediterranean Oil & Gas PLC (MOG) for the Montemarciano exploration permit in central Italy. SARP was recently awarded 100% interest in this permit.
MOG will become the permit operator and earn 50% equity. The license area lies close to MOG's Agugliano exploration license. MOG will earn its interest by carrying SARP for the cost of the permit's first well.
A prospect has already been identified, and MOG plans to drill the Montemarciano well in early 2007. The well will target gas in shallow Pliocene sands of less than 1,000 m deep. Prospective resources in the permit are 2.6 bcf of gas.
