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Black Sea Oil & Gas has started gas production from the Midia Natural Gas Development Project
The first gases extracted from the shallow offshore perimeters Ana and Doina entered the national transport system on Wednesday, Black Sea Oil & Gas announces. The company estimates that the two fields will produce half a billion cubic meters of gas this year.
“The MGD project is the first new natural gas development project in the Romanian continental shelf of the Black Sea in the last 30 years and the only development project underway today. It consists of five production wells (one submarine well at the Doina field and four production wells at the Ana field), a production platform monitored and operated from the shore, located on the Ana field and a 126 km submarine pipeline that provides gas transport to the new gas treatment plant (“STG”) in Corbu commune, Constan?a county. The treated gases are delivered in the NTS to the gas measuring station located inside the STG “, reads a statement by Black Sea Oil & Gas – BSOG.
Today, June 15, the National Energy Regulatory Authority (ANRE) licensed the companies Black Sea Oil & Gas, Gaz Plus Dacia and Petro Ventures Resources to operate the upstream supply pipelines related to the natural gas production activity in the Pelican and Midia perimeters in the Black Sea.
“The start of natural gas production in the MGD Project is scheduled for the second half of June 2022. The estimated production capacity of the project will be 1 billion cubic meters of gas per year, equivalent to 10% of Romania’s gas consumption“, says an ANRE press release.
The authority says that in the current context, the natural gas extracted from the Black Sea that is to enter the national transport system represents Romania’s chance to become energy independent.
Prime Minister Nicolae Ciuca welcomed the start of gas exploitation from the Midia Natural Gas Development Project, emphasizing that the premiere extraction of natural gas from the Black Sea will strengthen Romania’s capacity to ensure the need for natural gas from domestic consumption.
The annual production of natural gas from the XV Midia perimeter will ensure 10% of the national consumption needs and brings Romania closer to the biggest desideratum regarding energy security, namely, energy independence.
“For the first time, the exploitation of natural gas in the Black Sea will strengthen Romania’s capacity to ensure the need for natural gas from domestic consumption and thus achieve the goal of being energy independent. Providing the necessary natural gas from our own resources by 90 percent makes us a much more competitive market, especially during these overlapping crises. The Romanian Government will always be a partner of all investors who add value to our country and contribute to the well-being of our citizens. The Offshore Law allows the continuation of natural gas exploitation projects in the Black Sea, with prospects of transforming Romania into a gas exporter in the coming years,” said PM Ciuca.
The Midia Natural Gas Development Project (MGD Project) includes the gas fields discovered in 2007 and 1995, respectively, located approximately 120 km from the Romanian coast, in the shallow water area of the XV Midia perimeter where the water depth is 70 meters. In the period 2018-2022, the necessary investments for the exploitation of the gas from the Midia perimeter have been completed, and their value is approximately 400 million dollars.