Europe-focused Ascent Resources has started producing gas from its PEN-104 well in Hungary.

The AIM-quoted company, which also has 20 permits and projects across Slovenia, Switzerland, Holland and Italy, has begun production in the Peneszlek area of Hungary’s Nyirseg permits. London-based Ascent says PEN-104 is producing at the rate of 48,000 cubic metres of gas a day, which it will increase over the next few days to a target of 85,000 cubic metres a day, the daily equivalent of 500 barrels of oil.

The company has an indirect 45 per cent interest in the Peneszlek project through its holding in local company PetroHungaria. Its partners include fellow AIM counter Leni Gas & Oil, with 7.27 per cent.

Shares in Ascent, which peaked at 31p last year, have rallied 0.75p from their low earlier this month and now offer speculative prospects for the risk-friendly at 5.25p. Leni Oil & Gas shares, which surged from 2007’s 3p float to 11p last month, now trade at 7.75p.

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