June 2008 Presentation : Link here

March 2008 AST Write Up : Link TMF Post Ascent Article Archive Folder : Link to AST archive folder

Detailed Info on Italian Prospects : Link to post 2 (Explo.)

Detailed Info on Swiss Prospects : Link to post 3 (Explo.)

Detailed Info on Spanish Prospects : Link to post 4 (Prod. + Explo.)

Detailed Info on Dutch Prospects : Link to post 5 (Explo.)

Detailed Info on Hungarian Prospects : Link to post 6 (Prod + Explo.)

Detailed Info on Slovenia & Gabon Prospects : Link to post 7 (Explo.)



Web Site : http://www.ascentresources.co.uk

Email : info@ascentresources.co.uk

Sign up for email news alerts here : Click Here


Oil and Gas Guide for those who want to know more : Link to PDF file

Nice to see Ascent got near the high end of my estimates, with 2.15m Euro paid to them for back costs and seismic by Otto for the farm in :)

The potential NPV to Ascent is circa 30p a share.....not bad, just for Gazzata.


http://www.ottomanenergy.com/media/Moving%20forward%20in%20two%20thousand%20and%20Otto.pdf


"Moving forward in two thousand and Otto"

... What Parks described as the next big thing for Otto is drilling of Gazzata-1 in
the Bastiglia-Cento permits in the Po Valley of northern Italy where Otto farmed into a large exploration permit held by AIM listed Ascent Resources. The Po Valley is
a proven hydrocarbon basin, where more than 13 trillion cubic feet of gas and 342
million barrels of oil have been discovered to date.

To earn 50% in the permits, Otto contributed 2.15 million in January 2008
for the purchase of seismic data and reimbursed Deltana Energy for direct costs
of $400,000. Otto will pay 100% of the cost of drilling and testing the Gazzata-1 well.

In the event of a significant commercial gas discovery at Gazzata-1, Otto will also
fund 100% of the cost of drilling and testing of a second well.

We will be drilling the Gazzata-1 well in Italy in September targeting 130-200 billion
cubic feet of gas, Parks said.

In the event of a discovery, the company estimates the project is potentially worth
more than $200 million to Otto on a net present value (NPV) basis, equating to
approximately 40c per share.

There are two very similar structures in the Bastiglia-Cento permits Gazzata and
Rubiera. Gazzata is the first one that we are going to drill. There are 2D seismic lines that run north and south on Gazzata and processing and interpretation shows what looks like a common gas-water contact on each line, Parks added.

If we can demonstrate that Gazzata works, then we will have a good look at
Rubiera, which is another structure that looks very similar. Between these two
structures and the rest of the block, which is also judged to be very prospective, there could be as much as a trillion cubic feet of recoverable gas in the block.

Ascent Resources PLC
07 April 2008

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

Hungarian operations start-up

Ascent Resources plc, the AIM-traded oil and gas exploration and production
company, announces that operations have commenced on the Szolnok exploration
permit in Central Hungary where the Company has a 27.5% interest, with the
drilling of the first of two exploration wells and the start of a 3-D seismic
survey.

Drilling of the TIK-1 well began at 17:00 on Sunday 6th April with operations
expected to last about five weeks. The well is planned to reach a depth of
2,250m and to intercept targets in the Pannonion, Miocene and pre-Miocene
formations.

The Kunszentmarton 3-D seismic acquisition programme has also begun and the
field work is expected to take seven weeks. This programme will cover 150 sq km
and as well as delineating six prospects identified from old 2-D lines, it is
expected to identify further targets.

Both in the area of, and surrounding the Szolnok exploration permit, there are a
number of producing oil and gas fields as well as new discoveries that are been
drilled in the past two years being prepared for production.

Ascent Managing Director Jeremy Eng said, 'These works, along with the on-going
preparations for the start-up of production at Ascent's PEN-104 gas discovery in
eastern Hungary, demonstrates the benefits of a portfolio approach which has the
ability to create value through the simultaneous implementation of both
exploration and development programmes.'

For reference this was a post I put on AFN over the weekend, and the news today confirms two of the first "guesstimates for April".

Its only guesses, so DYOR !!

PapalPower - 5 Apr'08 - 03:02 - 19402 of 19436

Timelines, lets stimulate some debate on the 2008 timeline of events, please add in whatever you can.

I'll start with some guesstimates of events and timing, please add comments and suggestions. :


April 2008 - Prelim Results / 3D seismic at Snozzle / 2D Seismic at Anagni / Snozzle-1 spud.
May 2008 - AGM / Hungary Peneszleck production is on line
June 2008 - Issue reserves report for Hungary / Snozzle well 2 spud
July 2008 - Bajsca start / 2-D Seimic results from Anagni+intent to drill
August 2008 - Directors excercise warrants (Sept/08 exp) at 15p raising 900K.
September 2008 - Spud of the Gazzata-1 in the Po Valley / Interim Results / Hungary Peneszleck Gasfield - 3D Seismic
October 2008 - Spud of Anangi-2#
November 2008 - Spud of the Hermrigen-2 Swiss Drill*
December 2008 - Commercial finds confirmed at A-2 and G-1, city falls in love with AST, SP hits new high at 40p ;) (he says with fingers and toes crossed)

All are "guesstimates" so DYOR !!


#Pending 2D seismic results, drill could be scheduled for Q4 using other shallower rig of Ascent Drilling partner.

*Pending permits and new deep drilling rig delivery to Ascent Drilling partner Hermrigen-2 could commence July prior to the rig being used at Gazzata-1 in September.

Out of interest, from the on line limits, it says the seller is gone today. Time will tell.


On Line Limits :

BUY 15K @ 6.94p

SELL 250K @ 6.56p

4 to 6 weeks it seems for Tik-1 well (Snozzle-1 as we say)

http://www.oilvoice.com/n/Toreador_Provides_Operational_Update/c5c93ca8.aspx

Toreador Provides Operational Update

Monday, April 07, 2008

- Tik-1 Exploration Well Spudded in Hungary
- 3-D Survey Underway
- Joint Venture Agreement Completed for Deep Gas Play in Hungary
- Production from Three Platforms in South Akcakoca Sub-Basin Project Now Approximately 30 Million Cubic Feet of Gas Per Day
- Joint Venture Agreement for Sea of Marmara Exploration Disclosed
- Another Joint Venture Agreement in Thrace Black Sea Close to Completion

Toreador reports that drilling operations have begun on the Tik-1 exploration well in the company's Szolnok block in Hungary. The well is planned to reach a total depth of over 2,250 meters and is testing the hydrocarbon potential of the Pannonian, Miocene and pre-Miocene formations. Operations are expected to take four to six weeks to complete.

An approximately 150 square kilometer 3-D seismic survey is also underway on the Szolnok block. The survey is being acquired to develop leads into prospects along a structural high between two sub-basins on the southern edge of the Szolnok block. It is anticipated that field operations will take approximately six weeks.

As previously announced, the Tik-1 well and the 3-D seismic survey are part of a $10 million exploration program (including an additional exploration well to be drilled later) in Toreador's Szolnok exploration block. In return for funding the program, four joint venture partners will earn an aggregate 75% working interest in the block. Toreador is being carried for its 25% working interest and is the operator.


*******************

Some more info on the "Snozzle" area is in the PDF, link below :

http://www.acadiansec.com/UserFiles/file/articles/CEX_Stoney%20Creek%20Production%20Increases%20-%20Contact%20Enters%20Hungary_01-16-08.pdf


.

It looks to me as if Leni (LGO) might not have taken up the Swiss drill Hermrigen-2 option. The RNS always said it was "conditional" that LGO would take it up, however with AST now looking for a new farm in partner for up to 40%, you have to assume LGO are not now interested. Do they have cash problems ?

http://www.envoi.co.uk/Ascent(Switzerland)March2008.pdf

************************************

The original RNS with the "conditional" farm in news :

http://www.investegate.co.uk/Article.aspx?id=200710251545033845G

"In Switzerland, Ascent has conditionally agreed to farm-out up to 40% of its 90% interest in the Seeland-Freinisberg Permit in north-western Switzerland to LGO. Schweizerisches Erdol AG ('SEAG') is the concession holder with a 10% interest.
Under the terms of the farm-out, LGO will fund the costs of the drilling and
testing of the first well in the exploration permit. Expenditure on subsequent
exploration and production activities in this permit will be funded on a working interest basis. If LGO takes up its full 40% interest, it will additionally have the right of first refusal to participate in Ascent's other two Swiss projects on the same terms.




.

Good news all around.


http://www.investegate.co.uk/Article.aspx?id=200804140701022301S

Ascent Resources PLC
14 April 2008

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

Hungarian Divestment


Ascent Resources plc, the AIM-traded oil and gas exploration and production
company has agreed to divest an interest in two of its Hungarian gas development projects to fellow AIM Company Leni Gas and Oil plc ('LGO'). LGO will purchase a 7.27% interest in PetroHungaria kft and a 14.54% interest in ZalaGasCo kft from Ascent for a cash consideration of 2 million.

PetroHungaria kft ('PetroHungaria') owns a 100% interest in the Peneszlek gas
development project in the Nyirseg exploration permits in eastern Hungary while
ZalaGasCo kft owns a 50% interest in the Bajcsa gasfield redevelopment project
in western Hungary. On completion of the divestment, Ascent will have a 45.23%
interest in the Peneszlek project and a 38.73% interest in the Bajcsa project.

The Peneszlek gas development project is centred on the development of the
PEN-104 discovery that was drilled and tested by PetroHungaria in 2006. A
workover rig has just finished completing and re-testing this well and the
production facilities are scheduled to be delivered later this month. The
completion testing confirmed the excellent productivity of the PEN-104 well and
production will commence once the hook-up to the pipeline is completed and
authorisations received. In addition to the planned tie-in of the PEN-9 and
PEN-12 wells, further appraisal of the area will be undertaken with the
acquisition of approximately 100 sq km of 3-D seismic, including the area of the partially depleted Peneszlek field, which is a candidate for re-development.

The Bajcsa gasfield redevelopment project is a 50:50 joint venture with MOL RT,
the leading Hungarian oil and gas company. The joint venture will undertake the
redevelopment of the Bajsca gasfield with the drilling of horizontal wells in to the proven productive gas reservoirs. The first two wells are planned as
re-completions of existing wells and the operations will commence as soon as the drilling permits are issued. Work has already commenced to enable access to the well sites. As these wells were previously on production they are already connected to the field gas processing facilities and therefore production can start immediately they are completed.

In a modification to the previous agreement with LGO regarding the farm-in to
Ascent's Hermrigen gas appraisal project in Switzerland, Ascent have agreed to
grant LGO the option to take a 10% participating interest in this project and in the Seeland Freinisberg Exploration Permit for a further payment of 2 million payable on the date of the exercise. This two year option may be withdrawn by Ascent at its sole discretion, so long as it has not already been exercised.

Jeremy Eng Ascent's Managing Director said, 'We are pleased to welcome Leni Gas
and Oil as a partner in our Hungarian development projects. We aim rapidly to
develop our activities in Hungary and secure cash flow from the production and
sale of gas to the local market.'

http://uk.reuters.com/article/stocksNews/idUKNOA53335420080415

LONDON (Reuters) - Small, foreign-owned oil and gas firms operating in Russia face a challenge financing projects, as tightening credit markets and persistent concerns about Kremlin field seizures prompt bankers to withhold lending.

Funding problems mean an uncertain future for some of these companies -- typically worth less than $1 billion (500 million pounds) and often listed on the London Stock Exchange's junior AIM market -- and lower returns for investors in all.

Surging oil prices, which hit a record above $112 on Monday, have largely insulated companies with proven oil reserves, which they can use as collateral, from the credit crisis.

As lenders pulled back from troubled sectors such as property and retail, chief financial officers at some oil and gas companies said they actually saw more banks pitching loans.

Yet earlier this month London-listed Imperial Energy (IEC.L: Quote, Profile, Research) was forced to turn to shareholders to raise up to $600 million to refinance a loan and fund development work, after attempts to raise debt failed. Bankers were unimpressed by its almost billion barrels of Russian reserves.

Imperial's chairman Peter Levine said the move, which knocked almost 30 percent off the firm's shares, reflected a broader pullback in reserves-based lending.

But Imperial's experience echoes the funding difficulties faced by Russia-focused Timan Oil & Gas (TMAN.L: Quote, Profile, Research), whose shares were suspended last month pending a financing deal, and Victoria Oil & Gas (VOG.L: Quote, Profile, Research).

Meanwhile last week Ithaca Energy and Stratic Energy, small explorers focused on the North Sea, announced over $200 million in lending facilities. The banks are still going to lend to oil companies but for some players, in places like Russia .. it's going to be tougher," Peter Hitchens, oil analyst at Seymour Piece, said.

Some industry executives agreed that, after taking an optimistic view of Kremlin moves to retake control of the country's oil and gas sector in recent years, bankers had grown worried about the security of energy assets in Russia.

"Some people think it's very risky and would like to have their money in slightly more secure regions", said George Donne, executive director of Victoria Oil & Gas (VOG.L: Quote, Profile, Research), which sold a 29 percent stake to Gulf investors earlier this year to fund field development, after bankers were reluctant to do so.

MOVING DOWN THE FOOD CHAIN

Typically, explorers use investors' cash to find oil as banks are unwilling to finance the often unsuccessful work of drilling wells. When commercial reserves are proven, the explorer will turn to banks to help develop the field.

However, investors and lenders now reckon that in Russia, the riskiest part of the cycle does not end with a gusher.

The acceptance of the extent of the risk oil companies faced in Russia was a long time coming.

When state-owned Rosneft (ROSN.MM: Quote, Profile, Research) snapped up the assets of Russia's largest oil company, YUKOS, and state-controlled Gazprom (GAZP.MM: Quote, Profile, Research) muscled into Royal Dutch Shell's (RDSa.L: Quote, Profile, Research) Sakhalin-2 project -- both at knock-down prices -- foreign oil executives said these were one-off events.

Even when projects controlled by oil majors Exxon Mobil (XOM.N: Quote, Profile, Research) and BP (BP.L: Quote, Profile, Research) came under pressure, smaller oil companies thought they could exist safely below the Kremlin's radar screen, Andrew Neff, energy analyst at Global Insight

But in the past two years, Imperial, Lundin Petroleum (LUPE.ST: Quote, Profile, Research), Urals Energy (UEN.L: Quote, Profile, Research), Timan and Victoria, have all faced threats to their oil and gas licences from state bodies.

Neff said this showed the state wanted greater involvement in the energy sector than many thought.

"They have been moving down the line from the most important to the least important," he said.

Problems raising cash for developments could force some companies to seek to sell out but Russian assets are no longer the draw they used to be, analysts said.

Rosneft and Gazprom's muscling into previously privatised assets has led to debt levels which means even they may not be eager buyers.

Some foreign banks have lent Russia's largest oil and gas producers so much money, they are near lending limits to them, banking sources said.

As Ascent are attending, if anyone goes to this, any feedback from Ascent would be appreciated.



From the t1ps.com team

[i]Normally private investors never get to grill the CEOs of the companies whose shares they buy. But your annual chance to do just that at Master Investor 2006 is now just 10 days away.

Among the CEOs there for you to quiz are those from:

Mercator Gold, Pubs n Bars, Northern Bear, Kenmare Resources, Empresaria, Centamin, Conister Trust, Stanley Gibbons Group, Telecom Plus, Northern Petroleum, Kryso Resources, Calcitech, CBG Group, Merchant House Group, WMS, Alliance Pharma, City and Merchant Group, Kalimantan Gold, Nighthawk Energy, Golden Prospect Precious Metals, Skywest, Delling Group, EMED Mining, Medical Solutions, Medusa Mining, First Artist, Greatland Gold, ILX Group, Minoan Group, Myhome International, James Cropper plc, Ariana Resources, Jubilee Platinum, K3 Business Technology Group, Kefi Minerals, Angus & Ross, ANS Group, Lion Capital Corporation, Alexander Mining, Litcomp, Lombard Risk Management, Mears Group, Metals Exploration, Nexus Management, Pan African Resources, Plus Markets Group, Ascent Resources, Pre-X Capital Management, Radicle Projects, Sigma Capital, U308 Holdings Plc, v22, i-Design Group, English Wines, Minerva Resources, Braemar Group, Minco Chestnut Petroleum, InterQuest, Yellowca ke, PMI Gold Corp, Northern Bear, Hatpac Limited, Datong Electronics, Pubs N Bars, Ekay, Great Western Mining Corporation, Sirius Exploration, Sexual Health Group, World Mining Services, ICM, PetroLatina, Kopane Diamond Developments, Raw Capital, Mercator Gold, Printing.com, Coms, Forbidden Technologies and many more.

And of course there are the speakers (Wray, Slater, Knievil, Left, Winnifrith, Mir, Mellon, Johnson, Piper, etc)

This is a one-off event

The doors open at 9am on March April 26th in Islington at what is without doubt THE investor show of the year.

Tickets cost 49.99 but t1ps.com is offering you one free ticket and the chance to book extra seats at just 10 each.

To book yours, please send an email to MI2008tickets@t1ps.com indicating on the email your full name, postal address and telephone number. You can also purchase additional tickets at the discounted rate of only 10 so if you would like to bring a friend, partner or child along simply indicate this on your email and leave your telephone number - we need this so we can call to take payment.

YOU CAN ALSO BOOK NOW BY CALLING KAREN ON 0207 562 3370 AND QUOTING T1PS.COM

Tickets will be put in the post to you along with a full itinerary, directions and exhibitor details today. Of the 2000 tickets up for grabs there are now just 150 left so be quick!

We look forward to seeing you on the day.

Best wishes

Tom Winnifrith

http://www.oilbarrel.com/email_index.html?page=/news/article.html?body=1&key=oilbarrel_en:1208397739&feed=oilbarrel_en

17.04.2008

Ascent Resources Brings In New Partner As It Gets Busy In Hungary Ahead Of First Gas

Ascent Resources has bolstered its coffers by 2 million by selling off equity in two of its Hungarian gas developments to fellow AIM firm Leni Gas & Oil. Leni, which recently farmed into Ascents exploration and appraisal projects in Switzerland, has agreed to buy a 7.27 per cent interest in PetroHungaria, Ascents subsidiary which owns 100 per cent of the Penzlek gas development, and a 14.54 per cent interest in ZalaGasCo, which owns 50 per cent of the Bajcsa gas development. Following the divestment, Ascent will hold 45.23 per cent of Penzlek and 38.73 per cent of Bajcsa, both of which are expected to come onstream and start contributing to the bottomline in 2008.

The Penzlek project lies in the Nyirs exploration permits in eastern Hungary. It involves the development of the PEN-104 discovery that was drilled and tested by PetroHungaria in 2006. Production facilities are scheduled to be delivered later this month, with the field due onstream once hook-up to the pipeline is completed and all necessary permits received. There is additional potential here, with the planned tie-in of the existing PEN-9 and PEN-12 wells and a 100 sq km 3D seismic shoot that will cover the partially depleted Penzlek field, which is a candidate for re-development.

The Bajcsa redevelopment project in western Hungary near the Croatian border is a 50/50 joint venture with Hungarian firm MOL. The Bajcsa field was originally brought on stream in 1961 and, to date, has produced some 16.6 billion cubic feet of gas from over 20 wells. The majority of the gas has come from the VII/b and III reservoirs, just two of the seven stacked reservoirs that make up the field. Current production levels are fairly minor. MOL and Ascent plan to drill horizontal recompletions from the existing vertical wellbores which should boost flowrates and drain gas from undepleted reservoirs. The exact increase in production wont be known until the partners get to work.

The first two wells will get underway as soon as delayed drilling permits are issued (the partners had hoped to start this work last year). As these wells were previously on production they are already connected to the field gas processing facilities and so production and cashflows should start to flow immediately the wells are completed.

The proceeds of the divestment to Leni come at an important time for Ascent in Hungary, where earlier this month it spudded the TIK-1 exploration well in the Szolnok exploration permit in the centre of the country. This is a known producing area that has yielded new discoveries in recent years, making it a prospective project for Ascent. The TIK-1 well will be drilled to a depth of 2,250 metres and is expected to intercept targets in the Pannonion, Miocene and pre-Miocene formations. Ascent has a 27.5 per cent interest in this project, where a second well and a 3D seismic shoot are planned for the coming months. The seismic shoot, already underway, will cover 150 sq km and will delineate six prospects seen on vintage 2D data as well as identifying new targets.

In all Hungary is shaping up to be a very substantial part of the Ascent portfolio, which stretches from Spain to Italy and comprises exploration, appraisal and development (and soon-to-be production) opportunities. The attractions of the Hungarian asset base are enhanced by Ascents astute acquisition in February 2007 of the Petisovsci fields in eastern Slovenia, which are an extension of the tight gas reservoirs in western Hungary. Ascent is looking at rebuilding production from the shallow reservoirs at Petisovsci and is rethinking the geological model for the deep gas reservoir.

sp < 6p nice one pp!

halifax - year end SP.......thats what matters.

Ascent's big drills are all in the second half of 2008, so just be patient........... :) LOL

Just a quick go over some of this years events.


Italy - Po Valley.

Nobody was saying that success at Gazzatta-1 would add 30p, the comment was that if Gazzatta is a success, the SP for AST will likely be over 20p by year end. Gazzatta is just one of 6 major leads in the license that Ascent hold. In total in the license area (Cento Area 3 leads + Bastiglia Area 3 leads) is thought to be leads with potential for 1 Tcf of gas. Success at Gazzatta-1 will also firm up the chances of a few more hundred Bcf. I would see no reason why following Gazzatta-1 success that the whole company should not be valued at less than 20p, taking everything in. The 200m figure NPV from Otto is Australian dollars, 200m A$, and circa 94m GBP (Otto presentation link http://www.ottoenergy.com/media/Otto%20Energy%20Investor%20Presentation_17%20Dec%2007--.pdf )

Gazzata is "most likely" 130Bcf but with potential upside to 386Bcf

Don't forget, the potential of the Po Valley license is not just 1 drill 130 Bcf Gazzata, its up to 1 Tcf of gas, prime acerage Italy. Second drill, funded by Otto again 100% all being well, will be in early 2009.

The old Envoi document link is here http://www.envoi.co.uk/P136Ascent-PoValleySyn.pdf

************************************************

Peneszlek - Hungary.

The Dual Ex presentation ( http://www.dualexen.com/documents/presentations/DXE-2008-04-28.pdf ) makes things easy to work out. They utilise their net figure of 1.875 mmcfd as generating revenues of 400,000 US$ a month = 213,333 US$ per 1mmcfd)

So......as AST have 45.23% after divestment

Initial link up will be just PEN-104 - circa 3.4mmscfd which is net to Ascent of 1.54mmcfd = 328,532 US$ a month revenue (annualised = 1.97m/year)

Final link up later in 2008 will include PEN-9 and PEN-12 - output to be 5mmscfd which is net to Ascent of 2.261 mmcfd = 482,452 US$ a month revenue (annualised = 2.89m/year)


***********************************

By early summer, PEN-104 should be producing. By late summer the field should be producing with PEN-9 and PEN-12 added. Therefore, by late summer Ascent has a producing field in Hungary generating revenues of near 3m a year. There is considerable potential to upgrade this with further wells and it should not be unexpected that by end 2009 this is producing circa 6m a year in revenues net to Ascent.

Success at Gazzatta-1 would be very welcome news, and would be followed by a second drill fully paid for by Otto to test the "most likely" 116Bcf Rubiera prospect.

****************************

Talking of Hungary, shall we mention Bajsca......as permitting has been approved now.

Bajsca -

The initial reason that Ascent was listed on the market, Bajsca was a major hope that lots and lots of gas could be extracted by using new drilling and completion techniques on this old Hungarian gas field, and so, it could be rehabilitated, and as the production permits and infrastructure is there already, there is near instant cash flow on success.

So, what is Bajsca (part of Zala) ?

Immediate,quite simply, 1 Tcf of gas in total, so thats 380Bcf net to Ascent, of gas, in the ground, that will put onto immediate production on any success. If you take the total potential of Zala (Bajsca and potential Project B), the potential worth to Ascent is circa 2 billion Euro's end of the day.
So, lets hope the first two horizontal completions at Bajsca is a success, as this could dramatically increase the cash flow for Ascent, from the expected circa 3m a year from the Pen field in Hungary, to anything up to near 10m a year from a combination of Pen and Zala by end 2008 on an annualised basis, with tonnes of upside on both fields for 2009.


And then of course there is Switzerland, Netherlands (we should be due news soon on the divestment of the Netherlands offshore assets to Tullow, which will further add to the cash pile), Slovenia, Snozzle, Italy Frosinone (Anagni is just part of that), Italy Strangologalli, Spain- Rocamundo, even Gabon and the fact they have a share of a drilling company now.

As you'll notice drilling rig companies and oil services companies valuations are going crazy, as demand far outweighs supply. So its lucky, imv, that Ascent got into this drilling rig company when they did, as that investment alone has likely gone up in value by some margin already, and will continue to rise..........and thats ignoring the main reason it was taken, and that is quick, cheap and priority access to rigs whilst others suffer with long waiting times.

*****************************************

The SP is suffering, as a major holder liquidates their holding for cash, this has left Ascent with an overhang, very oversold and grossly undervalued. The SP will continue to suffer until this seller is clear, make no mistake there, however, the seller has so far refused to sell below 5p, and so as it stands now, circa 5p appears to be the bottom.

http://newsstore.smh.com.au/apps/previewDocument.ac?docID=GCA00836469OEL

From Otto 1Q cash flow statement :


"(iv)ITALY Po Valley Basin (Otto earning 50%)

The Bastiglia-Cento Permits are located in the Po Valley in Northern Italy. The Po Valley is a proven hydrocarbon Basin with over 13Tcf of gas and 342 MMbbls of oil discovered to date.

The Bastiglia- Cento Permit area is surrounded by a number of substantial oil and gas fields that are currently on production. There is a good infrastructure of roads and pipelines criss-crossing the permits.


Appendix 5B
As a result of Deltana Energy Limited ("Deltana") choosing not to exercise their option to acquire a 15% working interest from Otto before 31 March 2008, Otto will acquire the full 50% of the Bastiglia-Cento Exploration Permits from Ascent Resources Plc ("Ascent")

To earn the 50% interest, Otto :

- has contributed Euro.2.15 million (A$3.65 million) as a reimbursement of past costs and for the purchase of seismic data,

- has reimbursed Deltana for direct costs of A$400,000,

- will pay 100% of the first Euro 3.486 million(approx. A$ 6.5million) of the cost of drilling and testing the Gazzata-1 well and 50% of costs in excess of the Euro 3.486 million.

-in the event of a significant commercial gas discovery at Gazzata-1, Otto will also fund 100% of the cost of drilling and testing of a second well.

http://business.timesonline.co.uk/tol/business/markets/article3864966.ece

Rumour of the day

Ascent Resources rose 0.125p to 5.375p on strong volume, despite revealing recently that its well in Hungary was full of carbon dioxide, not the methane that it was looking for. Drilling on a second well in Hungary starts this weekend and the belief is that this should be better. Other energy firms apparently want to buy the carbon dioxide.


And in case anyone is wondering why other companies are interested in buying the CO2 :

............Carbon dioxide can help extract oil and gas from depleted reservoirs and can increase the production of methane, the chief component of natural gas, from coal beds that can't be mined.

The petroleum industry has long used CO2 injection to get more oil from depleted reservoirs. If the pressure is high enough in these formations, the CO2 and oil become completely miscible, leading to highly efficient oil recovery.

At lower pressures CO2 displaces oil without mixing together to form a single fluid phase -- this is known as immiscible displacement. This too enhances recovery, by reducing the oil's viscosity and by swelling, as some fraction of the CO2 dissolves in the oil. While some of the carbon dioxide comes back up with the oil, much remains underground. Operations can be modified so that more of the CO2 remains underground after the enhanced-recovery project is complete............

L2 is 3 v 3 @ 6/6.5

LAND/KAUP and EVO on the offer at 6.5p


One Line Limits :

BUY 75K @ 6.4p

SELL 100K @ 6.2p


Certainly looks like the dumping is over for now.......overhang seriously reduced ?

.

Update :


L2 is now very blue and 4 v 3 @ 6.5/7.0



On Line Limits are :


BUY 37.5K @ 7p

SELL 150K @ 6.7p


Overhang now gone ?????????????

Certainly does appear as if the overhang is now perhaps clear.

RNS more bad news.