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

The MoneyWeek Podcast: picking stocks is fun, but you need to do your homework
Investment strategy

The MoneyWeek Podcast: picking stocks is fun, but you need to do your homework

John Stepek talks to Steve Clapham, investor, analyst and author of The Smart Money Method, about the dangers in picking individual stocks and why you…
8 Apr 2021
BP looks set to return more money to shareholders as it beats expectations
Energy stocks

BP looks set to return more money to shareholders as it beats expectations

Oil major BP is to embark on a share buyback programme after significantly reducing its debts. Saloni Sardana looks at what it means for your portfoli…
6 Apr 2021
Deliveroo has hit the market – but it’s not getting the warmest welcome
UK stockmarkets

Deliveroo has hit the market – but it’s not getting the warmest welcome

Food delivery company Deliveroo made its debut on the stockmarket this morning. But with the share price sliding by 30% straight away, it’s not made t…
31 Mar 2021
Three stocks to buy now that will come back stronger after Covid-19
Share tips

Three stocks to buy now that will come back stronger after Covid-19

Professional investor Ed Wielechowski of Odyssean Capital, chooses three compelling stocks that should thrive in a post-pandemic world.
29 Mar 2021

Most Popular

The bitcoin bubble will burst: here’s how to play it
Bitcoin

The bitcoin bubble will burst: here’s how to play it

The cryptocurrency’s price has soared far beyond its fundamentals, says Matthew Partridge. Here, he looks at how to short bitcoin.
12 Apr 2021
Central banks are rushing to build digital currencies. What are they, and what do they mean for you?
Bitcoin

Central banks are rushing to build digital currencies. What are they, and what do they mean for you?

As bitcoin continues to soar in value, many of the world’s central banks are looking to emulate it by issuing their own digital currencies. But centra…
8 Apr 2021
Four investment trusts for income investors to buy now
Investment trusts

Four investment trusts for income investors to buy now

Some high-yielding listed lending funds have come through the crisis with flying colours. David Stevenson picks four of the best.
12 Apr 2021