ADX Energy Ltd.: Italian Authorities Confirm Grant of ADX' Gas Exploration Permit In The Sicily Channel

[ Report ]

Wien (pta026/24.04.2024/13:56) - The total Best Technical Prospective Resource potential of five high graded gas prospects is 369 BCF1

The annulment of a decree limiting oil exploitation may enable the potential re-development of Nilde Oil Field with 2C Contingent Resource potential of 34.1 MMBBLS2

Key points:

* ADX has been informed by the Italian ministry that the technical, financial and organisational capacity verification procedure on ADX has been completed with a positive outcome that will result in the granting of the d 363C.R-.AX gas exploration permit in the Sicily Channel, Offshore Italy.
* Technical studies undertaken by ADX during 2023 indicates that five high graded prospects have a Best Technical Prospective Resource potential of 369 BCF *.
* On 12 February 2024, the Regional Administrative Court (Court of first instance – " TAR ") of Rome annulled the Plan for the Sustainable Energy Transition of Eligible Areas ("PiTESAI") . The PiTESAI plan limited the extent of hydrocarbon prospecting, exploration and production activities preventing oil redevelopment, appraisal and exploration activities in a highly prospective area which hosts one of the most productive reservoirs in the Mediterranean. The annulment, if not contested, will result in reversion to the 2018 legislation enabling oil as well as gas within the d 363C.R-.AX permit to be exploited.
* In 2018, it was estimated that the range of Contingent Resources was 19.2 to 65.6 million barrels of remaining oil ** and the Prospective Resources range was 40 to 201 million barrels oil (arithmetically added) ***.

Prospective Resources are those estimated quantities of petroleum that may potentially be recovered by the application of a future development project(s) related to undiscovered accumulations. These estimates have both an associated risk of discovery and a risk of development. Further exploration appraisal and evaluation is required to determine the existence of a significant quantity of potentially moveable hydrocarbons.

Contingent Resources are those quantities of petroleum estimated, as of a given date, to be potentially recoverable from known accumulations but, for which the applied project(s) are not yet considered mature enough for commercial development due to one or more contingencies.

* Best Technical Prospective Resources reporting date 30.08.2022

** Contingent Resources reporting date for Nilde Field was 29.03.2018

*** Prospective Resources reporting date for the d 363 C.R-.AX was 21.04.2016

For more information please see the PDF file.

(Ende)