Romania approves BSOG’s Midia Gas Development
Romanian Government has approved BSOG’s plan for the development of the Ana and Doina offshore gas fields. The two fields make up the Midia Gas Development Project.
As previously reported, Black Sea Oil & Gas (BSOG) with its Partners Petro Ventures and Gas Plus International in February made the Final Investment Decision (FID) to proceed with the $400 million Midia gas development.
The MGD Project, which is the first new offshore gas development project in the Romanian Black Sea to be built after 1989, consists of five offshore production wells (one subsea well at Doina field and four platform wells at Ana field), a subsea gas production system over the Doina well which will be connected through an 18 km pipeline with a new unmanned production platform located over Ana field. The development is estimated to hold 10 bcm of gas reserves.
A 126 km gas pipeline will link the Ana platform to the shore and to a new onshore gas treatment plant (GTP) in Corbu commune, Constanta county, with a capacity of 1 BCM per year representing 10% of Romania’s consumption. The processed gas will be delivered into the NTS at the gas metering station to be found within the GTP.
Gigi Dragomir, The National Agency for Mineral Resources President, said: “The Development of the Ana and Doina gas fields offshore Romania is a top priority for NAMR, which supports the implementation of the Romanian Offshore Project that could lead to the diversification of the supply sources in Romania.”
BSOG, owned by Carlyle International Energy Partners and the European Bank for Reconstruction and Development, in 2019 expects to begin the fabrication of the Ana Wellhead Platform at the shipyard in Agigea, and start the construction works at the GTP site in Corbu.
The company has previously secured a long-term gas sales agreement with a Romanian subsidiary of Engie. The contracted volumes refer to all MGD Project gas production, reduced by the volumes that the producers are currently obliged to sell on the centralized market.
BSOG has also secured a gas transmission contract with Transgaz for the transport of the MGD Project production into the National Transmission System (NTS) for a contractual period of 15 years.
The entire project infrastructure, including all offshore and onshore facilities, has been contracted to be built, installed and commissioned under an EPCIC Contract with GSP Offshore SRL, with a contracted delivery date 1Q 2021. The development drilling of the five production wells will also be performed by GSP for which GSP Uranus jack-up rig will be deployed.
BSOG also confirmed that all the contracting activities for this project would, in total, have Romanian content of roughly 70%. The project is expected to go online in 2021.
Images by BSOG
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