Montenegro Signs 30-Year Oil Licensing Deal With Greek Producer - REUTERS

Wednesday, March 15, 2017
Reporting by Maja Zuvela; editing by Susan Thomas

SARAJEVO, March 15 (Reuters) - Montenegro awarded Greece's sole oil producer Energean Oil & Gas a 30-year oil and gas exploration licences in two offshore blocks in the Adriatic sea on Wednesday.

The contract for the blocks covering 338 square km was awarded in line with the terms of a 2014 tender.

The Balkan country produces no oil but initial data indicates it could have enough resources to cover its oil and gas needs.

Vladan Dubljevic, the head of Montenegro's Hydrocarbons Directorate, told Reuters borehole drilling would begin as soon as the Greek company completed the project design, environmental impact assessment and seismic screening.

Energean signs terms for offshore Montenegro blocks - OFFSHORE MAGAZINE

Offshore Montenegro blocks 4219-26 and 4218-30
(Source: Energean Oil & Gas)

03/15/2017

Offshore staff

ATHENS, Greece – Energean Oil & Gas has signed an exploration and production concession contract with the State of Montenegro covering offshore blocks 4219-26 and 4218-30, following parliamentary approval.

Total investment over the initial seven-year exploration period will be $19 million, including funding for a new 3D seismic survey, geophysical and geological studies, and drilling of one well.

The two blocks are in a water depth of 50-100 m (164-328 ft) and close to the Montenegrin coast near the town of Bar. Energean plans to start 3D seismic acquisition during 1Q 2018.