Prospex Energy plc has announced the official public gazetting of the Environmental Impact Assessment (EIA) consultation for drilling five new gas wells at the El Romeral Production Concessions in Spain. This marks a key regulatory step in the approval process.
The consultation, open for 30 working days, invites public and stakeholder feedback on potential environmental impacts. The application, initially submitted in May 2024, is now under review by Spanish authorities, with a final decision expected in 90-180 days.
The company plans to extract biogenic gas from shallow depths (~700m), supporting both its existing power plant and potential future grid supply. CEO Mark Routh emphasised that just two of the new wells would enable the power plant to operate at full capacity, while additional gas could support further expansion.
View from Vox: A Strategic Step for Prospex Energy
Prospex Energy's latest regulatory milestone signals steady progress in its El Romeral gas expansion project. While approval is still pending, this development underscores the company’s long-term ambitions in Spain’s energy sector. El Romeral asset is key to Prospex's European energy strategy, with a ten-year concession extension already secured, these new wells could significantly boost output. By focusing on biogenic gas, formed from microbial activity in shallow reservoirs, Prospex is positioning itself as a lower-carbon alternative within the gas sector.
Natural gas remains a crucial transitional fuel in Europe’s energy mix, particularly as the continent seeks to reduce reliance on Russian imports. Domestic production from onshore wells like El Romeral provides energy security benefits while minimising emissions from LNG transport.
If approvals proceed as planned, drilling could begin in late 2025 or early 2026. Given the relatively shallow depth (700m), each well should take only a few weeks to drill, meaning production increases could follow swiftly after completion. If the five-well plan proceeds smoothly, the company could see a step-change in production capacity, boosting revenues and shareholder value.