Sound Oil has gained approval of its Environmental Impact Assessment (EIA) for the Badile exploration well in Italy.
The drilling authorisation from the Italian Ministry of Economic Development is expected to follow with the endorsement of the Lombardy Region.
The approval of the European and Mediterranean focused oil and gas company’s application will allow it to prepare for the forthcoming exploration well.
James Parsons, Sound Oil’s Chief Executive Officer, said: “Badile remains the largest and most strategic asset in our portfolio with an independently assessed best case estimate of 178 Bscf equivalents.
“This approval re-affirms Sound’s ability to progress within the Italian regulatory system and positions the asset ready for potential farm in partners.
“The gas produced from Badile (following a successful exploration well and production concession award) would feed in to the energy hungry domestic market in Italy which has maintained pricing resilience against a backdrop of falling commodity prices.”