Advertisement

Sound Oil: first gas delivery from Rapagnano field completed

Sound Oil, the Italian focused upstream oil and gas company, has reported that first gas was delivered from the onshore Rapagnano field to the local gas distributor on May 15th 2013.

Sound Oil, the Italian focused upstream oil and gas company, has reported that first gas was delivered from the onshore Rapagnano field to the local gas distributor on May 15th 2013.

The initial production rate was 0.50m standard cubic feet per day (MMscfd).

Under the gas sales agreement with Steca Energia srl, gas is priced initially at $11.2 per million standard cubic feet, varying quarterly based on a basket of commodity prices.

Advertisement - Article continues below

On this basis, the company said that gas deliveries were expected to yield an annual cash flow to the company of approximately €400,000 after operating costs.

James Parsons, Sound Oil's Chief Executive Officer, commented: "We are pleased to have achieved the strategic milestones of first gas and first revenue. Rapagnano is one of our smaller assets however it establishes the company as a gas producer and builds a foundation for further growth."

"We will now focus on our flagship Nervesa discovery, which we will be drilling shortly and has an independently assessed base case value of circa $60m."

Sound Oil's share price was up 1.67% to 7.62p at 13:21 on Thursday.

MF

Advertisement
Advertisement

Recommended

Broker safety – your questions answered
Investment strategy

Broker safety – your questions answered

Cris Sholto Heaton answers more of your questions about the safety of stockbroker accounts
25 Mar 2020
How demographics affects stock valuations
Investment strategy

How demographics affects stock valuations

New research suggests that stock and bond valuations are driven by the age of the population – at least in the US.
24 Feb 2020
Do you own shares in Sirius Minerals? Here’s what you need to do now
Stocks and shares

Do you own shares in Sirius Minerals? Here’s what you need to do now

Mining giant Anglo American has proposed a cash takeover of Yorkshire-based minnow Sirius Minerals. Unhappy shareholders must decide whether to accept…
20 Feb 2020
Why investors should be “cautiously bullish” for 2020
Stockmarkets

Why investors should be “cautiously bullish” for 2020

Analysts have been out in force making rosy predictions for stockmarkets in 2020, but while there is certainly a case for optimism, investors should r…
17 Jan 2020

Most Popular

Can Rishi Sunak save the economy with stamp duty cuts and half-price meal deals?
UK Economy

Can Rishi Sunak save the economy with stamp duty cuts and half-price meal deals?

John Stepek runs his eye over the chancellor's £30bn stimulus package and asks if it's enough to get the economy back on its feet after months of lock…
9 Jul 2020
An economics lesson from my barber
Inflation

An economics lesson from my barber

On reopening his shop after lockdown, Dominic Frisby’s barber doubled his prices. It’s all part of the post-Covid inflation process – and we’re going …
8 Jul 2020
What gold, bonds and tech stocks have in common
Stockmarkets

What gold, bonds and tech stocks have in common

"Risk off" or "safe haven" assets such as gold and government bonds have been doing well lately. But so have riskier tech stocks. That seems to defy c…
10 Jul 2020