.

Swiss Project just updated from "Under Offer" to "Under Exclusive Offer" on the Envoi site.

So news there could be a short time away, few weeks perhaps.

http://www.envoi.co.uk/envoiprojectlocator.pdf

.

http://www.investegate.co.uk/Article.aspx?id=201004190700113650K


Well well well, Fontana comes good and means the potential for a "string of lovely pearls". A number of 20m or 30m barrel pools of oil will be very nice indeed.

Anagni-1 was the deepest as we all know, it was on the flank of the structure and found by accident this oil bearing formation. Being on the flank meant it found oil lower down and the oil had migrated higher.

Now Fontana confirms the oil is there higher up (and a second structure).

At least we now go to full "appraisal well" status for the next drill meaning its going to find oil and test oil production :)

And Anagni-2 should be similar cost to Fontana-1, much shallower but will be done with a proper drill rig this time.

PEN-106 is a shame, but that the way it goes, at least 101 should be on line soon now with a quick sidetrack. Hungary becomes a bit short now, 105 and 101 in production but thats it for PEN I think. It will save some money, as production facilities and pipe for 101 + 105 are together and there will now be no need to do anything at the 106 location (and for 105 they moved the stuff over from 104).

The major news is of course Anagni...... oil there is worth a hell of a lot more than PEN gas, and if its a string of pearls we can move back to far higher valuations that now.

Add on Ripi to Anagni and you have some major work to do in Italy now, and its oil :) Which leads me to believe that PEN will produce gas from 105 and 101 until dry and that will be the end of that.

With regards to PEN, firstly in the short term the failure of 104-AA and 106 has "saved" AST money. Yes, in the short term it has saved cap-ex.

105 and 101 are very close and can produce from the same facility. What AST did was rather than have to purchase and put in place a second facility, they simply shut down 104 facilities and moved them over to 105/101 location. The facilities can handle production from the 2 wells. Money saved from not purchasing a second lot of facilities.

Longer term, yes money is now missing from cash flow projections, but short term its another saving - perhaps offsetting the 101 sidetrack / 106 drill costs.

Mid term AST has gained another lump of cash from selling off the drilling rig share and taking cash for shares from MG. They also have 50K from JE for his options. Thats nearly 1M pounds directly on the bottom line that was not supposed to be there.

You always drill your "best" first, and then appraise and drill what you consider your "next best". The list of "best prospects" will change as time goes by based on prior drill results. Its therefore really no surprise the last one, 106, failed at PEN, whilst the first one, 104, produced and also produced from a sidetrack 104-A before finally a second sidetrack 104AA failed.

In the same way now they will drill Fontana-2, however they will target the most likely to produce area. It might be smaller, perhaps only say 5M to 10M barrels in size, but it will be in their minds "most likely" to produce. The market cap of AST is now so small that even a small 10M barrel find, 80% owned, will blow it upwards by 3 to 4 bagger status. Get a 5M barrel find there and double your money from todays market cap.

What they need to do is prove the theory now. We know that Ripi oilfields were producing for a long time very close to Angani. If the next drill proves the concept of these potential small shallow fields dotted over the landscape then AST is very much in the money.

Nobody has said the location at Fontana cannot produce, but that was not the permit for the well, as it was a geologic appraisal well. I would suspect the location there might be "more difficult" to produce from and why they have opted for a "banker" location which is updip again and nice and shallow. 300M to drill is going to cost peanuts, they can also use a small rig which will make permitting easier. The well will be permitted as "hydrocarbon appraisal" which means they can test and recover oil from a pump.

Why would you attempt to apply for a "hydrocarbon" permit at Fontana-1 location if you now know 1KM away the formation is 300M higher up and therefore much easier to produce from. Therefore do not write Fontana-1 location off, its simply that they are going to choose the best and easiest "production" location, as the next drill must produce from a pump. Best first, and a success there will open up many options to raise funds, including farming down a proven oil find.

All in all todays news is good, the "string of pearls" theory is well in place and now firmed up somewhat and the next drill will be a proper "hydrocarbon find" permitted one. I think we can now look forward to a real oil find at Anagni next time, hopefully the first of many "pearls" in the area. Certainly was a very clever move keeping those "discount drilling" options with the Italian rig company, its almost as if by raising that extra million and keeping the drilling options open that they could foresee Fontana would give them the right result.

With regards to the share price it needs to throw off the last of the stale bulls and the margin traders and today has hopefully seen that. Its the time of year to sell for the summer and go away and hopefully many are.

Fontana-1 was a pure "geologic appraisal well". That was the permit granted, it was not a "hydrocarbon appraisal" well as that requires a different permit.

It was to prove the concept, firm up the idea's and allow better understanding of the structure.

This is done and now comes "Anagni-2", updip again.

If people cannot even understand the basics of whats going on well, they cannot be following the AST story very well can they ??????? Some of the posts I have seen in some places goes to show these people have no idea what AST is doing and yet they proclaim to know so much about the company and prospects.


http://www.investegate.co.uk/Article.aspx?id=200909090700067389Y

"The geological appraisal well, Fontana-1, using the interpretation of last year's seismic data, is expected to find the reservoir interval over 400m shallower than at the Anagni-1 location."

------------

The next well will be a "HYDROCARBON APPRAISAL" well. Which means it can test and also later be converted into a "Production well".

http://www.investegate.co.uk/Article.aspx?id=201004190700113650K

".....The Partners believe that the results are sufficiently encouraging to proceed with the permitting of a hydrocarbon appraisal well, the Anagni-2, located within 1 km of the Fontana-1 location, which will target a smaller adjacent structure.

The Fontana well, was permitted and drilled as a geological appraisal well to collect cores from the carbonate platform identified while drilling the nearby Anagni-1 well. The target Carbonate platform formations...."

pp how long before they get the next permit?

I would suggest 6 to 9 months.

I got quite a few below 4.25p so was well happy with the price movement of yesterday, cannot complain.

Should be back over 5p once PEN-101 is done and ok.

Then we look forward to perhaps drilling a couple of shallow 10 Bcf gas targets in Slovenia (extension area) to start with, news from the ongoing 3D work being done, farm out of the Swiss Hermrigen appraisal well with firm drill plans, and Anagni-2 "oil appraisal well" maybe end of this year.

Super deal, with options to farm in "post discovery" with no obligations.

Well done JE/SC/MG and the others !!


http://www.investegate.co.uk/article.aspx?id=201004220700125915K


Ascent Resources plc / Epic: AST / Index: AIM / Sector: Oil and Gas

22 April 2010

Ascent Resources plc ('Ascent' or 'the Company')

Sale of Swiss Subsidiary to eCORP Europe International Ltd. for 8 million with Retention of Farm-in Rights


Ascent Resources plc, the AIM-traded oil and gas exploration and production company, has sold its 100% owned Swiss subsidiary, PEOS AG ('PEOS'), to eCORP Europe International Ltd. ('eCORP'), for a cash consideration of 8 million, together with various farm-in options on certain potentially successful discoveries ('the Transaction').


Overview

Cash Consideration: Sale of PEOS for a cash consideration of 8 million: 5 million payable immediately, with 3 million payable on completion of agreed commercial conditions

Additional Consideration: Option to participate in potential upside from any discovery:

o Ascent retains right to acquire 45% of any conventional discovery from the Hermrigen 2, Essertines 2 and Linden 2 appraisal wells by paying 45% of drilling costs post any discovery - with no obligation to participate

o Ascent retains right to 22.5% of any discovery from certain additional conventional prospects by paying 22.5% of the drilling costs post discovery, again with no obligation to participate

eCORP irrevocably committed to drill the Hermrigen-2 appraisal well - permitting underway for drilling in Q4 2010

Swiss projects estimated by Tracs International to contain gross contingent conventional resources in excess of 600Bcf of gas

Deal validates strategy of developing a diverse European portfolio of oil and gas projects and underpins the significant value of its assets across the portfolio

Jeremy Eng Ascent's Managing Director said, "This is an outstanding deal. We have realised 8 million from our investment in our Swiss assets, retained without obligation the opportunity to participate in any production opportunities from conventional reservoirs and completely removed the funding risk for these projects. This validates the time and resources devoted to our portfolio approach of developing oil and gas assets across the whole continent of Europe. Importantly, in this instance, we have achieved a far stronger result than working within a traditional farm-out partnership structure.

"We have some very strong projects within our portfolio, some in production, some of which will soon be in production and multiple projects where we are looking to add value through defined exploration and appraisal. The additional funds will be used to expand our intensive work programme across our portfolio, which includes our drilling and production programme in Hungary, the exciting prospects of the Anagni-2 appraisal well in Italy, alongside further drilling and exploration work scheduled in Slovenia. Furthermore, having retained the farm-in option with PEOS, we can also look forward to additional activity in Switzerland and the possibility of confirming the presence of a sizeable reserve."

Under the terms of the transaction Ascent has disposed of all of the equity of PEOS, which held the Company's beneficial interest in various permits in Switzerland including a 90% beneficial interest in the Hermrigen, Linden and Gros de Vaud permits (with the remaining 10% retained by Swiss joint venture partner, SEAG), and a 35% interest in the Concordat permit. The consideration is 8 million - of this, 5 million will be immediately payable to Ascent, with a further 3 million on the completion of commercial conditions agreed with eCORP. Since 2005, Ascent has actively developed and marketed the Swiss assets. The Board believe, from the evaluation work conducted by Tracs International in 2007, these permits could contain circa 600Bcf of conventional gas.

As part of the Transaction, eCORP has irrevocably committed to drill the Hermrigen-2 appraisal well prior to October 2011, however it is expected that site operations will commence in the fourth quarter of 2010 subject to permitting. Management estimate gross contingent reserves of potentially 150Bcf in the Muschelkalk and Bunter layers of the Hermrigen prospect. eCORP will fund the entire cost of the Hermrigen-2 well and if successful, Ascent has the retrospective right to participate by paying 45% of the conventional well cost to earn a 45% interest in the conventional discovery. Ascent has no rights to any unconventional gas development or gas storage project should it be undertaken by eCorp. Ascent retains the equivalent rights for the appraisal of the Essertines 1 and Linden 1 appraisal wells should eCORP elect to drill these prospects. Should eCorp elect not to drill these wells Ascent retains the option, subject to certain conditions, to fund their development in its own right.

Additionally, Ascent and eCORP have identified a further three prospects in the licence areas held by PEOS. Should eCORP elect to drill these additional prospects, Ascent has the right to 22.5% of any successful conventional discovery by paying 22.5% of the drilling costs post discovery. Again, should eCorp elect not to drill these wells Ascent retains the option, subject to certain conditions to, fund their development in its own right.

eCORP's CEO John F. Thrash commented, "eCORP is pleased to have the opportunity to control the operations of PEOS on these permits and work at an enhanced pace to bring much needed gas resources to Switzerland through a combination of conventional and unconventional gas development, alongside the potential construction of underground gas storage facilities."

This company that purchased the Swiss assets appears to like "unconventional gas plays" and well, that is AST down to a "T".

I can therefore in time see this company buying out AST in full, they can get their hands on Bajsca, Slovenia and Hungary gas, as well as small stuff like the Po Valley gas project.

It would explain the AST director putting nearly 1M pounds into shares in the company recently as well. Must be looking at a "company sale" 12M to 18M down the line.

I would see this deal as a "starter" to get Angani proven or not. It would be the bugbear in the valuation as AST would want lots for it but nobody will buy it until proven or not.

So this cash injection now allows AST to easily prove Anagni or not. They can sell it or dump it then.

This company also benefits from buying back the potential buy ins, therefore voiding them.

So I see the rumours of a company sale picking up some steam and some backing today, all this 3D work is firming up pricing for sale perhaps, perhaps in 12 months we will see a real return of a nice lump of cash per share :)

20p a share, or maybe 30p if A-2 comes good ??

Patience, all that is needed for the big gains, let the traders and short terms sell and wait for the big gains, the ones they always miss :) !! ;)

The last I was in a small AIM stock were a director stuck in 1M pounds was OSH at 10p, and 12 months later the company was sold for 95p a share. I think we might see something similar here at AST.

Let's hope this is the start of something - AST has been sidelining for quite some time.

Extract from 2005 below when they farmed into the Anagni area, and guess what, AST did find oil in the Carbonates and now perhaps you see why they said "IMPORTANTLY" in the recent RNS they found a second "THRUST".

So their plan of 2005 was to find oil in the THRUST CARBONATES of the Anangi area - well stone the crows, they are doing just that.

:

http://www.investegate.co.uk/Article.aspx?id=200507190715000235P

"..........The Company will refund 350,000 of past exploration costs to Pentex. The exploration targets are the Apennine Thrust Carbonates similar to the southern Apennine's fields of Monte Alpi, Tempa Rossa and Cerro Falcone where some one billion barrels of recoverable oil have been discovered in the past 17 years.........."

From the RNS of the 19th April

".......The Fontana well, was permitted and drilled as a geological appraisal well to collect cores from the carbonate platform identified while drilling the nearby
Anagni-1 well. The target Carbonate platform formations have been found over
300m shallower than in the original Anagni-1 well. At the planned Anagni-2
location, it is expected that they will be even shallower still at an estimated
300m below ground level. Importantly, the Fontana-1 well have confirmed the
presence of a second thrust formation within the complex geology of this region. ......"

http://www.hbmarkets.com/stock-research-prices/small-cap-flash/read/

22nd April

Ascent Resources (AST, 4.25p, 21.9m) has announced an excellent looking deal for the disposal of its non core Swiss assets to eCORP. Cash Consideration: Sale of PEOS is 8 million, with 5 million payable up front and a further 3m on completion of commercial conditions. The attractive part of the deal though is Ascents ability to buy back into the projects on a heads up basis (i.e. a share of the project equal to the cost participation). Ascent has the right but not obligation to acquire 45% of any conventional discovery from the Hermrigen 2, Essertines 2 & Linden 2 wells by paying 45% of drilling costs after any discovery. The company also has the right to participate in 22.5% of certain additional conventional prospects on a similar heads up basis. eCORP is committed to drill the Hermrigen-2 appraisal well and permitting is underway with Q4 targeted. The Swiss assets are estimated by Tracs International to potentially contain gross contingent conventional resources in excess of 600Bcf. This is an excellent deal for which completely de-risks none core assets from the point of view of Ascent whilst maintaining exposure to upside, a win, win. After an unjustified poor run in the shares we would expect this to be reflected in the price. SPECULATIVE BUY

As people are asking.

GH-1 (CM-1) on the Panhandle was drilled some time back, commercial find was made and it is waiting to be connected to the gas processing facilities. AST has a share of this.

GH-5 (CM-5) AST decided not to participate in, the other holders took up the AST percentages and drilled (what turned out to be a duster). So it looks like AST made the right call by not going in for GH-5 participation.

Also it says gas price for Hungary in 2010 is expected to be around 10 US$.



Start of drilling 9th March 2010 :

http://www.cisionwire.se/ext/swede-resources-ab/swede-resources--borrstart-av-gorbehaza-5-ungern

Swede Resources AB

March 9, 2010 09:35 CET
Swede Resources: Start of Drilling Gbeha-5 Hungary


CM-5 is located four kilometers southwest of the GH-1 which was drilled in August 2009 and was declared commercially recoverable.
CM-1 as the production test flowed 3740 mcf will be linked on the 2.5 km long pipeline will be constructed. The pipeline will be connected to Hajd Gas Production Facility, where the condensate will be recovered and the gas sold by the Hungarian gas network. It has allowed the construction of the pipeline to get the oversized for the amount of gas to be transported through it.

Swede Resources has a holding of 0.991% of the CM-5 other partners HHEA 49.505% (operator), JKX 49.505%.


------------------------

Water found :

http://www.swederesources.se/

28th April 2010

Gbehaz5

With regard to the drilling of Gbehaz5 will show that the production test the well water network and is not commercially recoverable. The operator is looking at possibilities of using the CM-5 injection well for saltwater.

Saltwater always produced in varying quantities in gas and oil production and have taken care of this water is very aggressive.

Partners of the CM-5 are:

Hungarian Horizon Energy 49.505% (operator), JKX Oil & Gas 49.505% and Swede Resources 0.991%.

........In 2010, expect the revenue from Hungary will be based on a gas price of approximately $ 10/mcf.


.

Update on AST's North Sea (Dutch) area.

Mclaren Resources (partner) March 2010 presentation gives details on pages 15,15,17,18,19 (link is below)

http://www.mclarenresources.com/images/uploads/McLaren%20Resources_Pres_English_March2010.pdf

.

New Presentation Out.

http://www.ascentresources.co.uk/system/files/35/original/Presentation_May4_2010.pdf

.

The Daily Express said AST was up on Friday on "hopes of a positive drilling update from Italy".

I think they must mean from Hungary, so I guess we are going to get good news from PEN-101 this coming week.

http://www.investegate.co.uk/Article.aspx?id=201005110700046633L

PEN-101 Completion


TIDMAST

RNS Number : 6633L
Ascent Resources PLC
11 May 2010


PEN-101 Completion

Ascent Resources plc, the AIM-traded oil and gas exploration and production
company, through its subsidiary PetroHungaria kft, has successfully completed
the PEN-101 sidetrack, part of the Penzlek Project, in the Nys exploration
permits of eastern Hungary.

The PEN-101 sidetrack will produce gas from the Miocene tuffaceous gas
formation, the target of which was defined by 3-D seismic in 2008. The well was
originally drilled in February 2010 to a total depth of 1,500m, however during
completion an acid stimulation treatment had broken through a repair to the
cement isolation behind the steel casing and allowed water production from a
deeper formation.

The sidetrack was drilled to overcome this problem and the well has now been successfully completed and perforated, with gas flowed on a short test. Once the rig has been demobilised from the location, the PEN-101 well will be acidized and connected to the adjacent production facility where the PEN-105 gas is already processed.

Free investor event
-------------------


The directors of Ascent Resources (AIM: AST), Central China Goldfields (AIM: GGG),
Avalon Rare Metals (TSX: AVL) and Metals Exploration (AIM: MTL) will be presenting:


Chesterfield Mayfair Hotel, 35 Charles Street, Mayfair, W1J 5EB


The presentations will start at 6:00pm and finish at approx 8:00pm.

After the presentations are complete the directors will also be available to take questions
during a free canapand wine reception, offering the rare opportunity to chat to the CEO's
and network with other investors in an informal atmosphere.


Free Registration - http://www.sign-up.to/signup.php?fid=2046&pid=7163


This event is suitable for the following:

Sophisticated & private investors, private client brokers, fund managers,
financial institutions, hedge funds, buy & sell side analysts and journalists.


These are wonderful events in a superb setting, and well worth attending.


The nearest tube stations are Green park and Bond Street.

20th May 2010???

A good set of results with very good detail on all the projects.

Things looks solid and exciting going forward.

http://www.investegate.co.uk/Article.aspx?id=201005180700070772M

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