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OMV Petrom confirms submitting a commercial discovery declaration with Neptun Deep concession holders
OMV Petrom confirms the submission of a commercial discovery declaration with the National Mineral Resources Agency by the Neptun Deep concession holders, as a first step in the process of making the final investment decision, estimated to happen sometime close to the middle of next year.
"OMV Petrom, operator of the Neptun Deep project, confirms the submission of a declaration of commercial discovery by the concession holders. The declaration of commercial discovery represents an intermediate step in the process of making the final investment decision and starting the development. The total investment of the holders in the development of the project was estimated to reach up to 4 billion euros. In the context of the fulfillment of all procedural steps, the final investment decision is estimated for mid-2023, and the first gas production for the beginning of 2027," stated the representatives of OMV Petrom in a press release sent on Tuesday.
Last month, President Klaus Iohannis reiterated the strategic importance of the Neptun Deep project for Romania and requested the OMV management to start the offshore exploitation as quickly as possible within the perimeter owned by Romgaz and OMV Petrom, considering that the offshore law is a favourable one and is in force.
On that occasion, the management of OMV presented the status of the project and the key steps taken, committing to adopt the final investment decision in the middle of 2023, so that the exploitation of the natural gas existing in the Neptun Deep perimeter start as soon as possible.
In 2008, OMV Petrom formed a Joint Venture with ExxonMobil in order to explore the Neptun block in the deep area of the Black Sea. The perimeter covers an area of approximately 7,500 square kilometers with water depths varying between 100 and 1,700 metres.
ExxonMobil's share was later acquired by S.N.G.N Romgaz S.A. The transaction and the transfer of all shares issued by (representing 100% of the share capital of) ExxonMobil Exploration and Production Romania Limited, which holds 50% of the rights acquired and of the obligations assumed by the Oil Agreement for the deep water area of the XIX Neptun offshore perimeter in the Sea Black, are expected to happen in the summer of 2023.