Chevron: Decision to keep secrecy about state accords belonged to Romanian gov't

The decision to keep the secrecy about the state accords with Chevron for the sites based in Dobrogea belonged to the Romanian Government, Country Manager Chevron for Romania, Tom Holst told a private television channel on Tuesday.

'Chevron has an exploration licence for Barlad area (north-east of Bucharest) and the Government, some two weeks ago, offered us three exploration licences in Dobrogea region (southeastern Romania). The decision to keep the secrecy about the accords for the Dobrogea sites belonged to the Romanian Government, it was a decision of the ANRM (National Agency for Mineral Resources), it was not us who requested this. We observe the law in Romania and the ANRM decision,' Holst stressed.

The Romanian Government has recently approved three oil accords on an exploration, development and drilling concession in three sites in Dobrogea for company Chevron, the Romanian branch, as revealed by the resolution recently published in the Official Journal. The three agreements between Chevron and the ANRM approved at the Government's meeting on March 20 related the sites EX-18 at Vama Veche, EX-19 at Adamclisi and EX-17 at Costinesti.

Civic Platform calls on Gov't to open Chevron contract

The Romanian Government must make public the agreements signed with the oil companies, Chevron included and work out a law regulating the shale gas drilling in Romania, the Civic Platform organisation members said at a news conference on Monday.

The issue of shale gas drilling by hydraulic fracturing 'is of utmost importance for the entire country. ... It is dangerous for human life. ... We examined Chevron contract and we did not find its clauses. Quite the contrary, we encountered suspicious secrecy at all levels. We want a law to be worked out to regulate the drilling for shale gas in Romania', General Nicolae Rotaru, a Civic Platform member, said.

He stressed the Romanian laws should be updated so that the information included in the contracts signed by the Romanian state with the foreign oil companies could be made public.

'A law from 1950 is being applied in Romania, as if we have not developed since then at all. The law from 1950 says the details of a drilling contract should be secret. Chevron has nothing against publishing the appendices to the contract. The Romanian state is the one which does not want to open the contract', Rotaru said.

The Civic Platform announced it would send the Romanian Parliament, President's Office and Government a petition accompanied by a proclamation signed by 25,000 persons, which raises the issue of stopping drilling for shale gas by the hydraulic fracturing method.

The Romanian Ministry of Environment and Forestry, at end-March, announced it had issued an approval for the oil concession agreements closed by the National Agency for Mineral Resources and Chevron Romania Holding B.V. aimed at prospecting, developing and exploitation, since they include obligations relating the environmental protection.

The ministry underscored that closing the oil contracts between the National Agency and Chevron, as well as their approval by the Government does not amount to a ‘carte blanche' and give no ‘green light' to prospecting and drilling for the resources, without previously obtaining the authorisation that should certify the environmental protection conditions are met.

Countries such as France, Britain, Bulgaria, Canada and Australia have currently banned shale gas drilling.

Chevron Will Perform Seismic Studies in Romania during 2012

No exploration drilling has been done so far and it will take several more years to understand the real value of this opportunity, a company representative stated Monday.As a result to the information, published by Romanian media yesterday, that Chevron stopped drilling operations in the country, today the American company announced its official position. According to it, the company is going to perform seismic studies as planned during 2012, which could be followed by standard drilling, similar to the drillings for conventional oil and gas.

„We understand the concerns related to natural gas exploitation from shale formations in Romania. We believe that by presenting factual information on how these technologies are conducted, Romanians will understand that this natural gas is a clean source of energy and that it can be produced safely and responsibly", Tom Holst Country Manager Chevron for Romania, stated. “Romania has been producing natural gas and oil for many years. The same techniques will be used to determine if the country can significantly reduce imports of natural gas. Chevron is determined to create jobs for Romanians, to generate revenue for the State, to protect the environment and to help the local communities where it operates.”

„To be very clear, no exploration drilling has been done so far and it will take several more years to understand the real value of this opportunity” said Holst. „Many governments, including the one of Romania, have expressed their interest in the exploitation of natural gas from shale, as long as this process can be conducted safely and responsibly. Chevron is ready to assist Romania in uncovering new energy sources, with a significant potential at national level. In Vaslui county, Chevron is in the process of initial permitting for a conventional exploration well in 2012. ”

"It is a priority for Chevron to ensure that factual information is shared to help inform the public and policymakers on plans to explore for natural gas in Constanta County. No field activity is currently underway in the county,” the company’s message says. “The only future activity in the next 12 months would be a standard seismic data survey, similar to other such standard surveys done in Romania. Such a survey will be designed and permitted to avoid areas of high cultural value, cities and villages and sensitive environmental habitats. Only after such a survey is completed would consideration be made to locate and permit a standard exploration well, again similar to many routinely drilled wells in Romania. An exploitation project would be a consideration after the exploration activity, which is to be conducted over a five-year period.”

“We recognize the importance of sharing facts on the exploration technologies, that  are standard for oil and natural gas, and exploitation technologies for releasing natural gas from shale formations, which are new to Romania, but have been safely used for decades in many locations. In the months ahead, Chevron is committed to focus on creating a dialog with the population and policymakers, in order to clarify both the concerns as well as many benefits associated with this clean and efficient energy source." (Source:publics.bg)

Chevron contract normative acts do not contain ?shale gas' phrase (govt's spokesman)

The normative acts relating the licences for exploration, development and drilling of the sites given company Chevron under concession do not contain the ‘shale gas' phrase, since it should first be seen what types of resources could exist in those sites, the Government's spokesman Dan Suciu told Agerpres on Monday.

The Romanian Government has recently approved three oil agreements on an exploring, developing and drilling concession in three sites in Dobrogea for company Chevron, the Romanian branch, as revealed by the resolution published in the Official Journal.

Suciu said that in the case of Chevron 'no deposit was sold, no exploitation was decided. There merely are a range of oil licences that entail the phase of exploring and prospecting in the first two to four years. Only afterwards shall we see whether there are the hydrocarbons requiring commercial exploitation process, which is an extremely complicated step and takes very long till we reach such a situation that involves additional environmental restrictions'.

As for the shale gas, the spokesman stressed: 'First and foremost, we must see what lies there. The current normative acts do not contain the ‘shale gas' phrase. There is a supposition, there may be hydrocarbons there in various forms and, depending on such forms, there will follow the environmental approvals and the drilling approvals. I would also add there is no request from Chevron to open some appendices (to the contract - editor's note). By the effect of the law they have got this status, which is common for any exploitation licence. These agreements are intended for an important goal: the country's energy independence. We can obtain it and we rely on this in the Government's moves'.

MMP: Agreements signed between Chevron and ANRM include environment liabilities

The Ministry of Forestry and the Environment (MMP) in Romania acknowledged the agreements signed between the National Agency for Mineral Resources (ANRM) and Chevron Romania Holding B.V, as they include liabilities on environment protection, aspects required by the government resolution, reads a release sent by MMP on Friday.

MMP says that, in these agreements, the conditions are set so as the legislation should be observed on the environment protection and water management, which Chevron Romania Holding BV must observe. There are also measures to reduce the impact on environment, to remedy damages in case they occur, as well as obligations to rebuild the environment once the exploitation is over.

'Signing the oil agreements between ANRM and Chevron Romania, as well as the Government approving them, do not represent 'a blank cheque' and they do not 'give the green light' to exploration and exploitation of resources, without previously getting the approvals to certify that the environment conditions are met,' reads the release.

MMP says the agreements set an initial stage of exploration, including a mandatory part when seismic prospects and geochemical analyses must be performed. In order to do prospecting, an environment agreement is not required, but the impact is assessed.

Depending on the prospects result, the exploration can be made to see if there are deposits that can be exploited for economy. In order to perform the exploration, the agreement from the environment authorities is necessary.

After the exploration stage, if exploitable resources were identified, begin the next stages, of development and exploitation, according to the quoted source. In order to begin this stage, the environment agreement is necessary which is issued once the impact assessment on environment is performed, taking into account the relevant European directives among which the Directive on integrated pollution prevention and control, Directive on the control of major-accident hazards involving dangerous substances, Directive on ambient air quality assessment and management and the EU water framework Directive, Directive on urban wastewater treatment, Directive on hazardous waste and the Registration, Evaluation, Authorisation and Restriction of Chemicals.

Once these oil agreements are approved, Chevron Romania Holding BV must perform the seismic prospects, then the exploration to see if there are resources which can be exploited for economy and finally, they can start the exploration stage, according to MMP.

The oil agreement for the exploration, development and exploitation of Barlad perimeter was approved by government resolution no 22832004 which came into force when it was published in the Official Gazette no 7 on January 4, 2005.

'Until now, neither the Ministry of Forestry and the Environment nor any other subordinated environment institution received any request for the environment agreement necessary for the exploration and the exploitation of the shale gas,' reads the release.

The Ministry of the Environment and Forestry announced the subordinated authorities, the National Agency for Environment Protection, the regional agencies for environment protection and the county agencies for environment protection about the possibility that such projects might appear in Romania, as well as the necessity to enforce the community acquis for such projects.