Energean Oil & Gas has announced that the Greek Government has signed license agreements for the Ioannina and Katakolon blocks with the consortia of Energean and Petra Petroleum, for Ioannina, and with Energean and Trajan Oil, for Katakolon.
This marks an important step towards achieving the first oil and gas production from new license areas in Greece in over 30 years, says Energean.
Katakolon is an offshore block, located in Northwestern Peloponnese, covering an area of 545sq km. It is a proven oil field from an exploration well drilled in 1981, by the state owned company DEP-EKY. Energean estimates 5MM bbl can be recovered from Katakolon. The development plan includes drilling from an onshore location by means of extended reach drilling (ERD). The €15.6 million investment program during the two exploration phases over five years, will consist of 2D and 3D seismic data reprocessing, field development and environmental assessment studies in the first phase and new seismic data acquisition if required, as well as the drilling of a production well.
Ioannina is an onshore block, located in Epirus, Western Greece, covering 4187sq kms.
The consortium consists of Energean (60% working interest and Operator) and UK headquartered Trajan Oil (40% working interest). Both licenses expire in 30 years and both contracts are subject to Greek Parliament ratification.
Energean Oil & Gas Chairman and CEO Mathios Rigas says: “We firmly believe that there are petroleum systems in the western part of the country, as a continuation of the same geological features identified in the Adriatic Plate. Building on our revival of production at Prinos, Energean and our staff are ready to meet the new challenge of working towards achieving oil and gas production from new areas in Greece for the first time in 33 years. Moreover, the implementation of our new investment program which, including Prinos, will total more than €200 million over the next few years, will demonstrate that Greek companies are well positioned to both support and benefit from the recovery of the Greek economy.”
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