Natural gas: Time limit from Hellenic Hydrocarbons and Energy Resources Management Company for first drilling in Ionian

A decision by the Hellenic Hydrocarbons and Energy Resources Management Company clarifies the landscape regarding the first drillings to locate natural gas deposits in the Ionian Sea.

In fact, the decision issued a new time limit is set for the decision of the lessees regarding the first exploratory drilling of the marine “block 2” Northwest of Corfu.

The decision

Block 2 has been awarded to the consortium of “Energean – Helleniq Energy” companies.

At the end of last autumn, the lessees of the maritime concession bordering the Italian EEZ proceeded with 3D seismic surveys. They bypassed 2D in order to shorten survey times.

Based on the consortium’s contract with the Greek government, the deadline for fulfilling the lessee’s obligations in the context of the first phase of the investigations expires on March 15, 2023.

Energean (operator of the investment scheme), requested from the Management Company the extension by 12 months of the deadlines for fulfilling the basic deadlines of the first phase of the research program. This is because the three-dimensional seismic data collected by the Ramform Hyperion seismographic vessel require a longer period of time than the two-dimensional ones in terms of their processing and analysis.

The Hellenic Hydrocarbons and Energy Resources Management Company by decision gave its consent to Energean’s request and now the new milestone date is March 14, 2024. Until then, the oil company and its partner will have to decide whether to proceed with drilling or whether to return the concession to Greek government.

If the two companies make the relevant decision, then, according to the information, another year of preparation (licensing, equipment supply) will be required in order to drill the first well.

Ioannina

At the same time, Energean, which is the sole lessee of the “Ioannina” onshore concession, is preparing the first drilling to locate natural gas deposits.

According to information, the public consultation on the Social Environmental Impact Study is underway.

Those who have the obligation to participate (forestry service, archaeological service and water department) should be placed on the Study by March 6. Those who do not have the obligation have until March 27.

Energean will respond to the comments made by agencies and citizens.

When this cycle is completed, the Region of Epirus will issue an opinion.

And then the text will be sent to the Environmental Licensing department of the Ministry of Environment and Energy, in order to approve or reject or request a modification of the Study.

Estimates call for the first drilling both in the region and in Greece after years to take place in 2024.