ExxonMobil and Petrom signed an option agreement for Romgaz to participate in operations in the offshore Midia Block


Exercise of the option subject to the closing of the Agreement transferring for the exploration and production rights to a portion of Midia Block from the existing titleholders ExxonMobil Exploration and Production Romania Limited (“EMEPRL”), OMV Petrom S.A. (“OMV Petrom”) announce today the signing of an agreement with Romgaz S.A. (“Romgaz”) to grant Romgaz the option to participate in petroleum operations in the deeper water portion of the Midia Block (“Midia Deep”) in the Black Sea offshore Romania. EMEPRL and OMV Petrom signed a Transfer Agreement in October 2012 with Sterling Resources Ltd. and Petro Ventures Europe B.V. for the purchase of an 85% interest in the hydrocarbon exploration and production rights to a portion of the XV Midia Block in the Romanian Black Sea. The Transfer Agreement is not yet effective and is subject to several conditions which are in the process of being fulfilled, including approvals from relevant authorities. At the time when the transfer becomes effective, the participating interests will be as follows: EMPERL 42.5%, OMV Petrom 42.5% and Gas Plus International B.V. (an existing co-title holder in respect of the Midia Block) maintains its 15% interest. Based on the agreed terms, Romgaz has the option to purchase 10% of the participating interest in Midia Deep, from EMEPRL and OMV Petrom. Romgaz’s option to enter is triggered by the Transfer Agreement becoming effective and an announcement of a commercial discovery.

Source: Bucharest Stock Exchange

Download the entire communique here