UK-based Ascent Resources, an oil and gas exploration and production company focused on Slovenia and Central Europe, said on March 29 it has filed an appeal against a recent decision of the Slovenian Environment Agency (ARSO) to request an environmental impact assessment (EIA) at one of its concessions in Slovenia.

The company noted that a new environment minister has now been appointed in Slovenia following the resignation of the previous minister due to allegations of possible corruption. Jure Leben quit the government at the end of February after allegations that he was involved in a possible misuse of funds related to the massive Koper-Divaca railway expansion project. At that time, Leben served as a state secretary in the infrastructure ministry. He was replaced by Simon Zajc at the end of March. 

Ascent’s share price on the London Stock Exchange’s AIM index was up slightly to £0.27 on the news, before dropping back to £0.25 by the end of the day. 

On March 8, ARSO issued a decision ordering an EIA to be undertaken in respect of the project to re-stimulate the currently producing Pg-10 and Pg-11A wells at the Petišovci concession in Slovenia.

“Based on the advice provided by our legal teams in London and Ljubljana, the board firmly believe that the decision by ARSO was manifestly wrong as it ignored the advice provided by six governmental institutions who concluded that there was no significant risk to the environment and therefore no EIA was required,” Ascent said in a statement.

Ascent’s appeal will be reviewed by the ministry led by the newly appointed minister. “Slovenian guidelines are that this process should be completed within two months, however experience has shown us that these guidelines are often not adhered to,” Ascent said.

The company reminded that the integrated pollution prevention and control permit it applied for nearly five years ago is still with ARSO for a final decision and expressed hope that it will be confirmed without further damaging delay. The permit is required for the processing plant in Slovenia.