Argentina Operational Update

RNS Number : 8955N

Molecular Energies PLC

26 January 2023

 

26 January 2023

MOLECULAR ENERGIES PLC

("Molecular" or the "Company")

Argentina Operational and Financial Update

Molecular Energies PLC (AIM: MEN), the international energy company , provides an update on Argentina field operations in its hydrocarbons division and certain financial matters.

Highlights

· In Rio Negro, Argentina, nine production well workovers and one injector well workover to start in February

· In the Puesto Gurdian Concession, Salta, one workover and three swabbing operations on currently shut-in wells scheduled to commence next week

· Advanced discussions taking place to purchase a truck mounted mobile swabbing unit for its Salta assets in Q2 to swab a number of otherwise inaccessible shut-in wells

Rio Negro

Nine workovers/pullings of producing wells and one of a water disposal injector are expected to commence in February with a workover rig.

Salta, Puesto Guardian Concession

One workover and three swabbing operations are commencing this week with a light workover rig.

In the five fields in the Concession there are numerous old wells where oil has ceased to naturally flow to surface in commercial amounts but flows to surface irregularly in very small amounts.

The swabbing programme is aimed at identifying in which wells (if any) oil can be produced by artificial lift such as beam pumps. With this is mind, taking into account some of the old wells which are now inaccessible for a rig in the present state of vegetation, the Company is in advanced discussions to purchase a truck mounted mobile swabbing unit to be based in the Concession and upon this purchase being completed, a further extended programme of wells to be swabbed will be implemented, targeted for Q2 2023.

Prices and Financial

Whilst world oil prices have been volatile, realisation prices for oil in Argentina remain stable with subsidiary President Argentina being able to export certain of its oil from time to time.

At the end of this year Argentina will be holding Presidential elections. In the meantime, President Argentina, using its financial capacity, is renewing its search to acquire income generative energy sources in the country.

For further information please visit www.molecularenergiesplc.com or contact:

Molecular Energies PLC Nikita Levine, Investor Relations	[phone] [e-mail]
finnCap (Nominated Advisor and broker) Christopher Raggett, George Dollemore	[phone]
Tavistock (Financial PR and IR) Simon Hudson, Nick Elwes, Charles Baister	[phone]

Notes to Editors

Molecular Energies PLC is an AIM listed company at the forefront of energy development and has interests across the energy spectrum, from oil and gas projects to subdivisions in the green and alternative energy sub-sectors.

The Company has oil and gas production in two geographical markets: Argentina and the United States, as well as exploration assets in both Argentina and Paraguay. The Company also has two separate subdivisions which are focused on early-stage opportunities in the green and/or alternative energy sub-sector.

Activities in the green and alternative energy space are being carried out under the Green House Capital brand and through AIM listed ATOME Energy PLC operating in Paraguay and Iceland, producing green hydrogen and ammonia for use in fuels.

With a strong strategic and institutional base of support, an in-country management team as well as the Chairman whose interests as the largest shareholder are aligned to those of its shareholders, Molecular gives UK investors access to an energy growth story combined with world class standards of corporate governance, environmental and social responsibility.

The information contained within this announcement is deemed by the Company to constitute inside information as stipulated under the Market Abuse Regulations (EU) No. 596/2014 as it forms part of UK Domestic Law by virtue of the European Union (Withdrawal) Act 2018 ("UK MAR"). The person who arranged for the release of this announcement on behalf of the Company was Peter Levine, Chairman.

 

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