Italy: Guendalina Reserve Estimates Increased by 42 Per Cent

Mediterranean Oil & Gas (MOG) has today revised estimates for proven and probable gas reserves in the Italian offshore Guendalina gas field by 42 per cent. The revised reserve estimates bring the expected gas amounts to 31.2 billion cubic feet (bcf) of gas from a previous 22 bcf of gas. 

The upward revision comes after a Competent Persons Report (CPR) was conducted by RPS Energy Limited, following the beginning of production at the Guendalina field in October last year.

CEO of MOG, Sergio Morandi, called the news a "milestone" for the company.

"We are very pleased to announce that, following the successful start-up of the Guendalina field last October, daily gas production is meeting our pre-development forecasts," he said. "Guendalina’s good production rate, combined with RPS’s independent valuation which increases our recoverable 2P reserves by 42 per cent, is a key milestone for the development of our business plan and significantly increases the Company’s net production and revenues."

Current production from the field is running at an average of 21 million cubic feet per day.

MOG is a 20 per cent stakeholder in the Guendalina field, which is located 47 kilometres offshore from northeast Italy, in 42 metres of water. Eni is the operator for the project with an 80 per cent stake.