Contrary to Cyprus, providing oil majors investor-friendly conditions for their hydrocarbon exploration activities, ExxonMobil’s recent Glaucus-1 gas discovery emerging as a shining example, conditions in Greece are undermining the efforts of investors.
A consortium comprising Total, Exxon Mobil and ELPE (Hellenic Petroleum), established for hydrocarbon exploration work off Crete, has been held back by Greek government delays over the past few months.
Though most of the preliminary work has been completed, the trio of investors is still waiting for the Greek government to issue an exploration license, which would enable it to commence work at blocks off Crete.
An environmental impact study provided by the consortium for blocks west and southwest of Crete is said to have inexplicably fallen into stagnancy at one of the offices of the energy ministry’s environmental division over the past couple of months. It needs to be approved as part of the license issuing procedure.
Not surprisingly, investors are apparently making comparisons between sector operating conditions in Greece and Cyprus.
Exxon Mobil, Total and ELPE officials have all forwarded questions to energy minister Giorgos Stathakis’ office over the delay and been told not to worry.
“We’re excited but still waiting for the Greek government’s final approvals,” Exxon Mobil vice president Tristan Asprey, somewhat frustrated, recently remarked.
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