Key Highlights

  • Italy's Ministry of Environment and Energy Security confirmed admissibility of the Selva Malvezzi Environmental Impact Assessment, with a 60-day observation period starting 1 September 2026.
  • The company reported August gross revenue of about EUR 1,670,000 from the Podere Miair well at an average price of 67 euro cents per standard cubic metre.
  • A new 12-month gas sales agreement with Hera Trading S.r.l commences on 1 October 2026.

Shares of Po Valley Energy Ltd closed at A$0.092 in the trading session on 27 October 2026, unchanged (0.00%) from the previous close. In the same session, the ASX 200 closed at 8,850.1, up 0.46%, and the energy sector index finished at 11,074.7, up 0.63%. Brent crude oil slipped 0.60% to USD 115.15 as diplomatic efforts to ease the U.S.-Israeli war with Iran reduced concerns over further regional escalation. Po Valley Energy Limited (ASX:PVE) has a Perth registered office and a Rome office, and produces gas in Italy from the Podere Miair well.

Latest Development: Selva Malvezzi Operational Update - Environmental Impact Assessment Admissibility

In an announcement dated 4 September 2026, Po Valley Energy said Italy's Ministry of Environment and Energy Security, known as MASE, confirmed the admissibility of the Environmental Impact Assessment for the Selva Malvezzi four-well drilling program. A 60-day period for public observations began on 1 September.

The company stated that it submitted the documentation before the end of June and that the Ministry is proceeding with the next steps. Its technical team is prepared to answer queries raised during the consultation.

Chairman and CEO Kevin Bailey said the company is accumulating cash to fund a drilling campaign of four additional wells that it hopes to commence in 2027, after permitting is received from MASE.

Latest Development: August Gas Production and Revenue

The company reported that August 2026 produced the highest monthly revenue in more than three years of continuous production.

According to the release, the Podere Miair well continued to perform consistently, with gross August production of about 2,500,000 standard cubic metres at an average price of 67 euro cents per cubic metre. Gross revenue for the month was about EUR 1,670,000.

  • Po Valley holds a 63% interest, equal to roughly 1,575,000 standard cubic metres of volume.
  • Revenue attributable to the 63% interest was approximately EUR 1,052,100.

Latest Development: New Gas Sales Agreement with Hera Trading

Po Valley Operations Pty Ltd, the company's wholly owned subsidiary and operator, signed a new gas sales agreement with Hera Trading S.r.l together with joint venture partners PXOG Marshall Limited and UOG Italia Srl. The agreement runs for a further 12 months from 1 October 2026.

The release set out the following key terms.

  • The term runs from 1 October 2026 to 1 October 2027, with no automatic right of extension; the parties are to begin extension discussions at least 30 days before 30 September 2027.
  • Estimated supply is 28,185,300 standard cubic metres for the thermal year ending 1 October 2027, delivered at the SNAM point Budrio.
  • Pricing is linked to the PSV Day-Ahead price from the Italian Gas Index published by GME.
  • Monthly, weekly and daily provisional nominations apply, with binding nominations required by 5pm Rome time and a tolerance of plus or minus 10%.
  • Settlement and payment complete 20 days after month end.

Risks and Catalysts on Watch

The announcement points to the following items.

  • The 60-day public observation period for the Selva Malvezzi Environmental Impact Assessment, which began on 1 September 2026.
  • Permitting from MASE, which the company said is required before it hopes to start the four-well drilling campaign in 2027.
  • The gas sales agreement has no automatic extension right, and extension talks are due to begin at least 30 days before 30 September 2027.
  • The agreement may be terminated under conditions the company described as standard, including gas quality, delivery specifications and payment.

Closing Summary

Po Valley Energy's 4 September 2026 update covered three items: acceptance of the Selva Malvezzi Environmental Impact Assessment for public observation, a month of record gas sales revenue from Podere Miair, and a new 12-month agreement with Hera Trading starting 1 October 2026. The company stated that permitting from MASE precedes the planned drilling.