Block completes Georgian licence farm-out

London-listed Block Energy has completed the farm-out of non-core areas of the XIB licence it operates in Georgia to the country's state oil and gas producer, the company reported on March 9.

The agreement, announced in December, involves the transfer of a 50% interest to Georgian Oil and Gas (GOGL) of the Didi Lilo and South Samgori exploration areas, which Block would have had to relinquish in 2024 and now form part of its Project IV. The farm-out has no impact on Block's projects I, II and III in the XIB licence.

Under the deal's terms, GOGL will carry out a $3mn 2D seismic acquisition and processing programme, Block said.