Hydrocarbons Agreement to be signed shortly
hydrocarbons
16 Oct 2017
/ 14:31
The procedure to grant concessions for the exploration and production of hydrocarbons in the marine area west of Corfu, known as ‘Plot 2’, has gone on for more than three years.
Last week, however, the procedure entered the final straight and the formal signing of the contract is expected within the next few days, allowing exploration to commence.
The final obstacle to be overcome was the Court of Auditors, who have now completed the pre-contractual audit and approved the concession, stating that “There is no reason not to proceed with the signature of the proposed lease agreement.”
According to Capital.gr, the official signing of the contract will take place within the next few days – and certainly before the end of the month – in the presence of high-level delegates from the companies participating in the consortium which will receive the concession.
The first round of concessions, in which Plot 2 was made available, began in 2014. The first tenders were submitted in 2015 and one year later in 2016 the consortium Total Edison ELPE was selected to proceed with explorations in the marine plot west of Corfu.
The next steps
Following the audit approval and the signing of the contracts, comes the approval of the concession agreement in Parliament. The consortium will then begin work with new seismic surveys. These will identify potential geotechnical targets, after which the first drilling rigs will be brought in.
Corfu
Plot 2 is located west of Corfu and there are high expectations of finding hydrocarbon deposits there. Despite the great sea depth, scientists believe there are similarities with the geological zone in Italy where significant quantities of oil were discovered. It remains to be seen if the surveys will confirm this theory.
It is a positive sign, however, that one of the world’s largest oil companies, Total, has shown an interest in investing in the region. The French company, in fact, heads the joint venture which includes Edison (an Italian company owned by the French EdF) and the Greek Oil Group. As long as nothing unexpected happens, then it is considered feasible for the first drillings to commence in 3-4 years from now in 2020-2021.
Preliminary estimates based on existing seismic data and the application of statistical modelling foresee a possible output in the region of 2 billion barrels.
Source: capital.gr / Haris Floodopoulos
The final obstacle to be overcome was the Court of Auditors, who have now completed the pre-contractual audit and approved the concession, stating that “There is no reason not to proceed with the signature of the proposed lease agreement.”
According to Capital.gr, the official signing of the contract will take place within the next few days – and certainly before the end of the month – in the presence of high-level delegates from the companies participating in the consortium which will receive the concession.
The first round of concessions, in which Plot 2 was made available, began in 2014. The first tenders were submitted in 2015 and one year later in 2016 the consortium Total Edison ELPE was selected to proceed with explorations in the marine plot west of Corfu.
The next steps
Following the audit approval and the signing of the contracts, comes the approval of the concession agreement in Parliament. The consortium will then begin work with new seismic surveys. These will identify potential geotechnical targets, after which the first drilling rigs will be brought in.
Corfu
Plot 2 is located west of Corfu and there are high expectations of finding hydrocarbon deposits there. Despite the great sea depth, scientists believe there are similarities with the geological zone in Italy where significant quantities of oil were discovered. It remains to be seen if the surveys will confirm this theory.
It is a positive sign, however, that one of the world’s largest oil companies, Total, has shown an interest in investing in the region. The French company, in fact, heads the joint venture which includes Edison (an Italian company owned by the French EdF) and the Greek Oil Group. As long as nothing unexpected happens, then it is considered feasible for the first drillings to commence in 3-4 years from now in 2020-2021.
Preliminary estimates based on existing seismic data and the application of statistical modelling foresee a possible output in the region of 2 billion barrels.
Source: capital.gr / Haris Floodopoulos
