Sound Oil reports success of initial operation at Repagnano

Sound Oil, an oil and gas company based in Italy, has reported the success of its initial operation at the Rapagnano field, where flow rates and pressure are in line with its expectations.

Sound Oil, an oil and gas company based in Italy, has reported the success of its initial operation at the Rapagnano field, where flow rates and pressure are in line with its expectations.

The firm said that once it had cleared the site the Rapagnano-1 well was re-entered and it was able to complete the necessary operations.

The well was flowing at a confirmed stabilised rate of 0.5m standard cubic feet per day.

The gas is also confirmed as dry, with no trace of water from the reservoir, the group added.

James Parsons, Sound Oil's Chief Executive Officer, said: "The company continues on track to achieve the strategic milestone of first commercial gas, having successfully re-entered the well and established a stable flow rate. This initial cash inflow will make a substantial contribution to overhead costs and permanently establishes the Company as a gas producer.

"This is the first step in building a track record of operational success. The company will now focus on finalising the well test and preparing for the forthcoming Nervesa appraisal well."

Following the well test the company plans to demobilise the equipment to enable the construction of a short export pipeline to the nearby distribution grid

It expects first commercial production by the end of January 2013.

The share price rose 1.52% to 8.38p by 09:20.

NR

Recommended

Imperial Brands has an 8.3% yield – but what’s the catch?
Share tips

Imperial Brands has an 8.3% yield – but what’s the catch?

Tobacco company Imperial Brands boasts an impressive dividend yield, and the shares look cheap. But investors should beware, says Rupert Hargreaves. H…
20 May 2022
Investing in drugmakers: uncommon profits from curing rare diseases
Share tips

Investing in drugmakers: uncommon profits from curing rare diseases

Treatments for medical conditions with only a small number of sufferers can still be very attractive for pharmaceutical companies and investors becaus…
20 May 2022
Share tips of the week – 20 May
Share tips

Share tips of the week – 20 May

MoneyWeek’s comprehensive guide to the best of this week’s share tips from the rest of the UK's financial pages.
20 May 2022
Delivering profits: should you buy Royal Mail shares?
Share tips

Delivering profits: should you buy Royal Mail shares?

The volume of parcels delivered by Royal Mail soared during the pandemic, and so did its profits. But it has been coming under pressure lately. So, as…
19 May 2022

Most Popular

The ten highest dividend yields in the FTSE 100
Income investing

The ten highest dividend yields in the FTSE 100

Rupert Hargreaves looks at the FTSE 100’s top yielding stocks for income investors to consider.
18 May 2022
Imperial Brands has an 8.3% yield – but what’s the catch?
Share tips

Imperial Brands has an 8.3% yield – but what’s the catch?

Tobacco company Imperial Brands boasts an impressive dividend yield, and the shares look cheap. But investors should beware, says Rupert Hargreaves. H…
20 May 2022
Barry Norris: we’re already in the 1970s. Here’s how to invest
Investment strategy

Barry Norris: we’re already in the 1970s. Here’s how to invest

Merryn talks to Barry Norris of Argonaut capital about the parallels between now and the 1970s; the transition to “green” energy; and the one sector w…
19 May 2022