Petrom, Exxon Target New Structure in Black Sea

OMV Petrom SA and ExxonMobil Corp. commenced drilling the Pelican South-1 exploration well to test a new geological structure in the Neptun Block about 155 kilometers offshore.

The Ocean Endeavour rig is now drilling the Pelican South-1 well, following the completion of drilling the Domino-2 well earlier in October.  Data from the Domino-2 well is presently under evaluation.

"Exploration for oil and gas in frontier areas is complex and very detailed, often taking years to complete. A thorough understanding of the geology is essential prior to making the significant investments required to develop such a discovery", said John Knapp, managing director of ExxonMobil’s affiliate in Romania.

"The Black Sea region plays a central role in our strategy and we allocate significant financial and technical resources to the offshore projects. We are encouraged by the good results so far, in shallow and deep waters. However much of the activity in the Black Sea deepwater area is of a frontier, pioneering nature, involving high investment risks and therefore requiring a stable investment framework", said Gabriel Selischi, member of OMV Petrom Executive Board responsible for Exploration and Production.

OMV AG , Petrom’s majority owner, made a preliminary estimate for the Domino-1 well in 2012 of gas accumulation ranging from 1.5 trillion to 3 trillion cubic feet (42 billion cubic meters to 84 billion cubic meters).

OMV Petrom and ExxonMobil Exploration and Production Romania each hold 50 percent of the deepwater sector of the Neptun Block.

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