Makó Trough, Hungary


35 Year Production Licence

Falcon began operations in Hungary in 2005 and it is the most developed asset in its portfolio. Falcon’s subsidiary, TXM, holds the 35-year Makó Production Licence covering an area of approximately 245,775 acres (approximately 1,000 km2) located in the Makó Trough, part of the greater Pannonian Basin of central Europe. The Makó Licence is located approximately ten kilometres from the MOL Group owned and operated Algyö field, which has produced approximately 2.5 Tcf and 220 Mmbo to date. The Makó Licence area is transected by existing gas pipelines, including a 12 kilometre gas pipeline built by Falcon in 2007, which together offer access to local and international markets.

2013 Competent Persons Report (CPR)

RPS Energy in a report dated January 2013 estimates that eight prospects in the Algyö Play contain gross unrisked recoverable prospective gas resources of 568 Bcf (P50).  Contingent resources for the Makó Production Licence, estimated for the Deep Makó Trough, include 35.3 Tcf of gas and 76.7 mmb of oil (P50).


NIS Agreement 

In January 2013, Falcon and NIS agreed to complete a three-well drilling programme (the “Agreement”) targeting the relatively shallow Algyő Play, by July 2014. Under the terms of the Agreement, NIS made a cash payment of US$1.5 million and agreed to carry Falcon for 100% of all costs associated with the drilling and testing programme. The July 2014 deadline for completion of drilling and testing of the three-well programme was subsequently extended by Falcon to 31 December 2014 to enable NIS to fulfil its three well obligation. As of 31 December 2014, NIS has only drilled and tested two wells.

Falcon is currently evaluating, and will pursue, all options available to the Company to derive shareholder value as NIS has not fulfilled its commitments under the Agreement.

Deep Makó Trough 

Between 2005 and 2007, Falcon acquired 1,100 km2 of 3D seismic data and executed a six-well drilling programme on the Deep Makó Trough. Each of the six wells encountered thick sequences of hydrocarbon bearing rocks, and tests flowed hydrocarbons from each tested horizon. Early exploration efforts focused on proving hydrocarbon potential and delineation of the basin in order to secure the Makó Production Licence. Falcon will seek to partner with an industry player to re-enter and develop the Deep Makó Trough play.

Falcon conducted small vertical stimulations on all but two wells (Mako-4 and Mako-7). Each of the zones tested flowed hydrocarbons to surface. These were exploration wells and no horizontal wells have been drilled at this stage.

Well Year Drilled TD(m) Summary
Pusztaszer-1 2005 3,785 250 mcfpd
Székkutas-1 2006 5,585 1,500 mcfpd
Makó-6 2006 5,692 700 mcfpd
Makó-7 2006 6,085 Untested
Magyarcsanád-1 2007 4,272 250 bopd + 1,000 mcfpd
Makó-4 2007 4,011 Untested

  • Overview
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  • Makó Trough, Hungary
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