Page 16 - EurOil Week 23 2022

EurOil PROJECTS & COMPANIES EurOil

Po Valley clears hurdle at Podere Maiar

ITALY PO Valley Energy announced on June 2 it had Po Valley was awarded the Selva Malvezzi gas
secured penultimate approval to launch produc- production concession containing Podere Maiar
The field is due online tion at the Podere Maiar gas field in north Italy, in 2019, but it did not receive approval for an
in the second half of putting the project on track to start up in the first environmental impact assessment until March
this year. half of next year. 2019.
A local government production agreement The company expects to flow up to 150,000
for the field has been approved by the Emilia cubic metres per day from two wells at the field.
Romagna regional council, Po Valley said. This In other Italian news, Coro Energy said
is a prerequisite for Italy’s ecological transition on June 6 it had resumed production at the
ministry to issue a final production concession Sillaro, Rapagnano and Case Tiberi gas fields
that allows the company to install a gas plant and after carrying out some operational enhance-
a 1-km pipeline to pump the field’s supply into ments. The previously closed Sillaro field was
the national grid. Negotiations are underway reopened by Coro at the end of March this
with contractors on these installations, Po Valley year, with the company predicting it would
said. earn more than €5mn ($5.6mn) annually
Po Valley operates Podere Maiar with a thanks to soaring gas prices. But the field was
63% stake, while the remaining 37% is held by closed again temporarily in late May, after
Prospex Energy. high temperatures in Italy led to increased
“This approval from the Emilia Romagna moisture in its gas flow. Following adjust-
regional council has taken some time to achieve ments to the operation of the field’s process-
and we are pleased to now be moving forwards ing facility, including the gas stripping rate for
the final production concession alongside glycol generation, production has resumed as
our partners, Po Valley, so that we can stay on moisture content is now well within pipeline
track for our goal of first gas from Podere Maiar specifications.
next year,” Prospex CEO Mark Routh said in a Wells at the Rapagnano and Casa Tiberi fields
statement. are also now up and running again, after Coro
Upstream projects in Italy often face an uphill undertook slick line operations, the company
struggle with red tape to progress development. said. ™

OMV denies cutting back fuel to Hungary

HUNGARY FUEL supply to Hungary is guaranteed, despite Vilaggazdasag said foreign companies are
the longer-than-planned shutdown of OMV’s disincentivised to supply the Hungarian market,
OMV was responding refinery in Schwechat, Austria, Hungary’s Min- as retail and wholesale fuel prices are capped at
to a report that claimed istry of Technology and Industry said on reports HUF480 per litre. The impacts are already pal-
the company might that supply problems may arise from the pro- pable, as gasoline imports have fallen since the
be forced to close its longed maintenance work at the refinery. Austrian spring and MOL’s share in sales went up from
stations in Hungary in oil company OMV also issued a statement denying 70% to 80%. If deliveries from OMV come to an
the coming weeks. plans to cut back fuel supplies to Hungary. end, MOL can’t make up for lost imports, sources
The statement comes after business daily talking to the business daily warned.
Vilaggazdasag reported that OMV’s pump sta- Dual pricing of retail fuel introduced in June
tions in Hungary may be forced to close in the has eased some pressure on the Hungarian oil
coming weeks due to fuel shortages. company, but sales are expected to pick up as the
Production in Schwechat was due to restart summer kicks in.
next week, but industry sources say that it may MOL was forced to postpone regular main-
take several more weeks. The leading oil and gas tenance work at its Hungarian refinery until
company of the region sells mostly to the Aus- August for a month. Sources speculated that the
trian markets and to countries in neighbouring supply of fuel could be in danger, but the Hun-
Central and Eastern Europe. The company oper- garian government also said it is ready to release
ates around 200 pump stations in Hungary, and strategic reserves.
it supplies 17-19% of the Hungarian petrol mar- In related news, the government will decide
ket and 13-15% of the gasoline market. in mid-June whether to extend the price cap on
OMW spokesman Andreas Rinofner refuted fuel. From June vehicles registered abroad pay
the report, saying the supply to Hungary is in no the market price and only motorists with a Hun-
danger after the Austrian government stepped garian license plate are eligible for the discount.
in and released strategic reserves. Hungary is an Hungarian motorists pay the lowest price in
important market that we want to continue to Europe for fuel after the government introduced the
serve, Rinofner said. price cap in November, extended twice until July 1. ™

P16 www. NEWSBASE .com Week 23 10•June•2022