Beacon Energy plc expects production testing to begin on the two existing wells, MP-1 and MP-2, in the Colle Santo joint venture gas field in the Abruzzo region, onshore Italy.
The news follows completion of initial well integrity tests, including for corrosion, during August 2026, which all indicated integrity.
A stuck valve in MP-1 prevented certain tests which are now scheduled for October along with movement of equipment to the site for a five-day production test.
Colle Santo is fully appraised and contains 73 billion cubic feet of gas with eight well penetrations since discovery, of which seven wells flowed gas to surface.
Chief executive officer Stewart MacDonald said: “The most recent wells, MP-1 and MP-2, were drilled and tested in 2007 and 2008 at a combined rate of 20 mmcf/d [million cubic feet per day], far in excess of the 11 mmcf/d planned during the production phase.
“It is reassuring that based on the tests conducted to date, the integrity of the MP-1 and MP-2 wells has been confirmed and that wellhead pressure in both wells is in line with expectations.”
Beacon Energy holds a 24% indirect interest in 90% owner-operator LNEnergy Limited and hopes to acquire a further indirect 24% subject to the award of a production concession, equal to a 43.2% indirect interest in Colle Santo.
Reabold Resources plc owns 29% of Beacon after conditionally selling its 46.2% stake to the company for a €16 million (£13.76m) earn-out.
The investor will also receive 25% of its pro rata share of the net cash flow from Colle Santo’s production, up to €16m, and new shares in Beacon.
LNEnergy Ltd is the 90% owner and operator of the project.