Deal Signed On Midia Gas Link
Gas developer Black Sea Oil & Gas (BSOG) has reached an agreement with Romania on developing a pipeline to pump its gas into the national grid.
The deal on construction of a 24.4-km pipe linking the Midia gas development to Romania’s national grid was signed by BSOG and state transmission system operator Transgaz, Romania’s economy ministry said in an August 30 statement. Its completion is expected in 2021.
BSOG, majority owned by private equity group Carlyle but with a small stake also held by the European Bank of Reconstruction and Development, took a final investment decision (FID) on Midia’s $400mn development in February. The project’s five wells will be linked to an onshore gas treatment plant in Corbu via a 126-km pipeline. Processed gas will then be pumped via Transgaz's planned 24.4-km pipeline to a grid connection point in Gradina.
Midia is due to start up in the first quarter of 2021 and produce 1bn m3/yr of gas at full capacity.