OMV Petrom announces the signing of the Production Sharing Contract for Block II, offshore Georgia

OMV Petrom, the largest energy company in South-Eastern Europe, announces the signing of the Production Sharing Contract (PSC) for the offshore Block II in the exclusive economic zone of Georgian Black Sea. OMV Petrom won in June 2020 the international tender organized by the Ministry of Economy and Sustainable Development of Georgia for offshore acreage.

Christina Verchere, CEO OMV Petrom: „By signing the PSC for the offshore exploration Block II in Georgia, we take an important step in the eastern part of the Black Sea, in line with our strategy of looking for opportunities in the Black Sea region. We believe that the Black Sea has a high potential for the upstream sector and with our operating experience of over 40 years in the Romanian offshore area we have a competitive advantage in evaluating the opportunities of this basin.”

The PSC provides for exploration, development and production of hydrocarbon resources in the offshore Block II. It covers a total area of 5,282 square kilometers and the water depth varies between 400 and 2,000 meters. As an operator, OMV Petrom will establish an operating company in Georgia, proceed with geoscientific and environmental studies in 2021 and prepare for a large offshore 3D seismic campaign in 2022, which will allow for a detailed evaluation of this block’s potential.

OMV Petrom in the Black Sea

Exploration in the Romanian continental shelf of the Black Sea started in 1969. The first hydrocarbon discovery was in 1980, and the first production in the Black Sea started in 1987. Currently, OMV Petrom has exploration, development and production operations in the shallow waters (Istria block) and exploration operations in partnership with ExxonMobil in deep water areas (Neptun Deep) of Romania. Oil and natural gas production in shallow waters amounts to approximately 24,000 boe/day. In 2020, it accounted for 16.4% of the Group’s domestic production. In a joint venture with Total (operator) OMV Petrom is also active in exploration and appraisal activities in the Han Asparuh Block in Bulgaria. The total exploration acreage of OMV Petrom’s interests in Romania and Bulgaria amounts to 26,000 km2 .

Source: OMV Petrom’s statement, www.bvb.ro, March 10, 2021