# PVE - Po Valley Energy



## Icharus (20 October 2007)

Thought I start a new thread on PVE as there does not appear to be one.

Background info:
PVE has gas and oil exploration permits in Italy (Po Valley). The same valley as the winter olympics were held (Turin). They managed to obtain permits when the Italian government mandated that the monopoly ENI had to release 60% of the acreage due to EU rules about government monopolies.

I believe this happened in 2002 since then PVE has explored and appraised 130BCF in 3P reserves and are now waiting for the government to give production licenses on several gas fields. The Italian government is extremely slow. It is now a year between applications and as yet to be announced approvals. 

The reason for the slowness comes down to the fact that until post 2002 they had to deal with one semi government institution ENI. Now they have to set up new frameworks/ publically scrutinised criteria ect. to ensure that everything is correct. 

This is why PVE has been in a very broad sideways channel for at least a year.

Two reasons why it can be a good investment 

1) Italian gas prices are if not the highest in Europe close to it 
11.50AUD/mcf while companies such as QGC here in Australia are selling at 3.00AUD/mcf. Also Po Valley region is the major consumer of gas in Italy which results in low transportation cost 

Gas fields are within 50KM of either Milan or Bologna. QGC,AOE,SHG are 300-400 KM from Brisbane 

(somone is sure to point out that the above comparisons are with CBM producers compared to PVE conventional plays but in the end both are selling natural gas. CBM is just another way of getting gas)

The point here is that farm gates are 4 times that of Australian producers which means that the forecast production of 7.5mmcfd for PVE is equivalant revenue of 30mmcfd in Oz

PVE are forecasting approx 26million in operating cashflow (does not allow for depreciation, overheads, tax, interest, exploration)


2) Tight shareholder registry 90 million shares with approx 18 million held outside substantial shareholders. This is a two edged sword. Very illiquid which means it is hard to get a position and even harder to exit in an emergency but the upside is upward movements can and do move very quickly. That is why it has had such a large trading range.

This will do for now 

Cheers Icharus

Please do your own research I am but a poor sighted bunny swimming in a tank of sharks


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## Icharus (7 November 2007)

Po Valley announced,  confirming receipt of initial production licenses with only the environmental approvals to go. 

Production is now targeted at June/July next year for the Sillaro and Castello fields.

cheers Icharus


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## TMM (18 December 2008)

A lot of interest has been going into the Po Valley where a number of licences have recently been granted. Italians would much rather get their gas from within Italy rather than rely on Russia and they are supporting the explorers in this region. Another Oz company (OEL) has recently acquired a JV with Ascent Resources plc (AIM listed) and will be drilling there in Jan.

PVE is extremely thinly traded which is a problem, but I agree with you that it seems to have a lot of upside potential. Recent announcements are all about the Italian govt granting them licences which means that they can now proceed to the next step. Hopefully this will make the stock more liquid. 

I notice that Macquarie small companies fund had 1.17% of PVE. Not sure if they still do though.

Haven't bought into PVE as yet, just watching with interest at the moment.


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## mancini (6 January 2009)

Hi,

I'm new to PVE but I was wondering if someone can give any thoughts on the likely outcome of the russia/ukraine gas dispute.

Is PVE large in the scale of potential gas producers in western europe?  Any other companies I should be looking at?

Thanks


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## Bushman (6 January 2009)

mancini said:


> Hi,
> 
> I'm new to PVE but I was wondering if someone can give any thoughts on the likely outcome of the russia/ukraine gas dispute.
> 
> ...




Have a look at EPG and OEL for other European producers/explorers. 

Be warned - somewhat painful ride as Aussie investors seem to be favouring Aussie-domiciled assets. It should slowly change as the POG in Europe is ten-times that in Australia and the infrastructure as there already. Also much larger population.


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## Putty7 (29 April 2010)

Bought a handful of PVE this morning after SP drop on news of Castello field downgrade possible as reduced flow rates are occuring

The maiden production from its Sillaro field east of Bologna is due end of April but more likely May 2010, will this be enough to give it a bounce, the field is significantly larger than Castello and gas in Italy is a lot more expesive to buy than the USA so profit margins are greater.

Just my thoughts, it was a spec buy with a low portfolio percentage, the next 3 weeks might be interesting for the SP if it isn't an insider bailing out.


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## Putty7 (30 April 2010)

After yesterdays massive drop with approx 30 million shares traded and a finish at .37c the SP appears to be clawing it's way back slowly today with buyers coming back in, SP at .41c at time of writing. 

There were no surprises in the quarterly cashflow released this morning so unless Sillaro coming into production (due any day) is behind schedule the only drawback is the smaller Castello field losing bore pressure, hardly worth the SP halving imho. Increased my holding this morning.


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## springhill (27 July 2012)

*Po Valley Awarded Torre del Moro Preliminary Exploration Permit*


Po Valley Energy Limited (ASXVE), the Northern Italy focused gas and oil exploration and production company, has been awarded a preliminary exploration permit for a new offshore licence - Torre del Moro - by the Italian Ministry for Economic Development.
The exploration permit is located in Emilia-Romagna adjacent to Po Valley’s 100% owned Terra del Sole exploration permit, around 55 km south east of Bologna, and covers an area of 111 square kilometers.
Po Valley has been invited to submit the necessary environmental impact study that, on acceptance, will lead to the final award of the permit.
The area contains large structures with similarities to the Western Po Valley Villafortuna-Trecate oil field (circa 220 mmbbls of oil produced to date plus associated gas production) and to nearby Pliocene gas fields.
Po Valley intends to conduct geological and geophysical studies on the new permit area, once awarded, to fully evaluate a number of leads already identified and, assuming positive results, will then prepare plans for an exploration well.
Commenting on the award, Giovanni Catalano, Managing Director of Po Valley said: “This project increases the Company’s exploration targets in an attractive area adjacent to our Terra del Sole permit. It will allow the Company to fully evaluate structures within the two contiguous blocks and will help progress potentially attractive leads to drillable status.”


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## springhill (3 August 2012)

*Po Valley Half Year Results*

Financial Results
The Company continued to perform well during the first 6 months of the year. Cashflow from operations was â‚¬4.1 million (up 87% compared to same half last year), EBITDA was â‚¬2.6 million (up 17%) and net profit after tax was â‚¬0.3 million (down 17%); mainly due to the increase in depreciation from the Castello gas field since restarting production in February. The Company ended the period with cash at bank of â‚¬2.0 million. Borrowings were unchanged at â‚¬6.0 million.

Operating Highlights
● Production restarted at the Castello field in February, with total Company production for the six months at 12.3 million standard cubic metres (434 million cubic feet).
● Plans are well advanced to install the condensate separator in order to bring the field back to full production of 77,500 standard cubic metres per day. The field continues to produce at reduced rates and is successfully managing the marginal condensate production. At the end of July the field was producing stably at 52,000 standard cubic metres per day.
● Total production for the second half is expected to be slightly lower than the first half due to the reduced production rate, and a short shutdown to allow for separator installation at the SIllaro field.
 ● Reserves and Resources were certified by the independent auditors Fugro Robertson, confirming inter alia Sillaro reserves and confirming the significant upside value of the Company's portfolio.
● First offshore exploration permit - AR94PY (previously AR168PY) was awarded in July. Located in the shallow waters of the Adriatic Sea the permit contains two connected gas discoveries, Carola and Irma (best estimate Contingent Resources 2C of 24.8 bcf).
● Joint Venture with Petrorep Italiana for a farm-in agreement on the Cadelbosco di Sopra exploration licence and an option agreement on La Prospera exploration licence was signed.


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## greggles (19 January 2018)

Po Valley Energy announced today that strong gas flows on test have confirmed a significant commercial discovery at its new Selva gas field in northern Italy.

The Podere Maiar 1dir exploration well drill program intersected two identified gas reservoirs, C1 and C2, in the Medium-Upper Pliocene sands of the Porto Garibaldi Formation.

PVE up 3.7c to 7.7c so far today on the back of the news. Looking good.


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