Operational Update

RNS Number : 4816D

Molecular Energies PLC

20 October 2022

 

20 October 2022

Molecular Energies PLC

("the "Company")

Operational Update

Molecular Energies PLC (AIM: MEN), the international energy company with two diverse divisional interests being that of hydrocarbons and an alternative energy business, provides an operational update in respect of its Puesto Flores Field, Argentina and East Lake Verret Field, Louisiana.

Rio Negro

The Puesto Flores facility has fully restarted after the temporary disruption with all work successfully completed. It is now working up towards full production levels which is expected by the end of this weekend.

For the avoidance of doubt, the disruption has not affected the previous expectations of the Argentine business being operationally profitable in the relevant quarter.

Louisiana

After a delay in barge availability, work is in progress at the wells with full production, at this high margin, positive cash generative business, also expected by the end of the weekend.

The steps being taken in Louisiana by introducing gas lift technology for the first time in the Triche well are expected to deliver a higher, sustained level of uninterrupted production than in the recent past.

Peter Levine, Chairman, commented:

"This has been a period where a confluence of independent and unrelated factors outside of the control of the Company have meant that both the Puesto Flores and Louisiana Fields have for entirely different reasons been temporarily interrupted.

"The Group has however many strings to its bow, and the Company expects of our Argentine business being operationally profitable in Q3.

"The temporary disruption is not in any way reflective of those affected fields production capability, nor the present or future potential of operational profitability of such assets and in any event all other fields of the Company remain unaffected and continue to produce in line with internal expectations.

Likewise, preparations for drilling the high impact Paraguay oil prospect progress, as does work on developing our Green House Capital alternative energy business. As to our investment asset base, we note the positive progress of our former subsidiary, Atome Energy PLC, in which we retain a 28% holding."

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

Molecular Energies PLC Nikita Levine, Investor Relations	[phone] info@ molecularenergiesplc.com
finnCap (Nominated Advisor and broker) Christopher Raggett, Edward Whiley	[phone]
Tavistock (Financial PR) 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, including the international commodity trader and logistics company Trafigura, 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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