Sound Oil, the Mediterranean focused upstream oil and gas company, is pleased to announce that first gas was delivered from the onshore Casa Tiberi field, located in the Marche Region of Italy, to the local gas distributor on 28 July 2014. The initial production rate was 9,600 Scmd (0.34 MMscfd) from the Lower Pliocene Cellino formation.
Under the gas sales agreement with Prometeo Srl, gas will be priced at the spot rate and an annual contract will be negotiated in September.
James Parsons, Sound Oil's Chief Executive Officer, commented:
"We are pleased to have achieved the strategic milestone of first gas from our second Italian onshore gas field. Our low risk producing portfolio now funds our Italian cost base. We will continue our strategy of monetizing existing onshore gas discoveries in Italy, including achieving first gas at the 24 Bscf Nervesa discovery during the next twelve months."
