Ascent Resources suspends Hungarian well

Ascent Resources PLC has suspended its PEN-102 exploration well in northeast Hungary as it investigates drilling a sidetrack well to target the Miocene gas reservoir.

Uchenna Izundu
International Editor

LONDON, May 15 -- Ascent Resources PLC has suspended its PEN-102 exploration well in northeast Hungary as it investigates drilling a sidetrack well to target the Miocene gas reservoir.

Ascent drilled the PEN-102 well to 1,500 m TD within its Nyirseg exploration permits. "Drilling and logging results indicated that the well had intercepted a fault system and consequently the target Miocene tuffaceous formations were encountered 38 m deeper than prognosis," Ascent said.

The company found residual gas in the deeper section of the reservoir and shot a seismic survey to identify the orientation of the fault system. After interpreting the survey, Ascent plans to drill a sidetrack well.

PEN-102 is the third well of a four-well program to be drilled under a farm-in agreement Ascent has with Canada's DualEx and Sweden's Petro Pequnia. The partners will acquire working interests in the Nyirseg permits of 37.5% and 2%, respectively, by paying 75% and 4% of the costs of these wells. Through its subsidiary PetroHungaria, Ascent will contribute the outstanding 21% for the drilling costs and keep a 60.5% working interest in the permits.

"Over the next week, the drilling rig will move to the last of the four farm-in wells, VAM-1, a gas exploration well designed to test exploration prospects in both the Miocene and Pannonian formations in the Vamospercs area, some 14 km further south west of PEN-102," Ascent said.

Ascent said, "A successful sidetrack of the PEN-102 could yet add reserves to the planned Peneszlek development in Hungary," which includes the PEN-104 discovery and other proved reserves in PEN-9 and PEN-12.

Contact Uchenna Izundu at uchennai@pennwell.com.

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