Ascent Commences Petiovci Drilling

Ascent Resources yesterday commenced drilling the Pg-11 evaluation well in the Petiovci field, a part of the Petiovci-Lovaszi Project in Slovenia and Hungary.

The Pg-11 well is the first to be drilled by Ascent in the Petiovci-Lovaszi project area and the first for 30 years to be drilled in the field area. Recently, the Company announced an independently verified P50 estimate of gas-in-place of 412 Bcf (11.7 Bm3; 68.7 MMboe) for the project area.

The primary objective of the Pg-11 well is to collect state-of-the-art data in order to assist in optimising the re-development of the gas field using the technological advances of the last 30 years. Consequently, the evaluation programme will include core sampling, extensive wireline logging and testing, and the data set will allow 3-D seismic calibration and enhancement of the geological model of the whole project area.

The Pg-11 well is being drilled using Crosco International's Cardwell 1 drilling unit and preliminary results are expected to be available in February 2011. The start of the drilling was delayed by a few days due to the poor weather conditions in the past two weeks and stringent certification procedures.

Ascent's Managing Director Jeremy Eng said, "This is a positive step in the development the Petiovci-Lovaszi Project. Pg-11 is an important well and whilst the main effort is in the evaluation of the Miocene gas reservoirs and the application of new technology to most efficiently developed the gas reserves, we expect that after the evaluation phase the well will be completed as a producing well and will then contribute to cashflow in the medium term."

Ascent, through its wholly owned subsidiary, Ascent Slovenia Limited will have a 75% interest in the Petiovci Project and Slovenian partner, Geoenergo d.o.o. holds 25%.