Black Sea Oil & Gas and Transgaz signed a contract for the transportation of natural gas from the Black Sea

Black Sea Oil & Gas signed a contract with SNTGN Transgaz for the gas transport for the Midia Gas Development Project (“MGD Project”), a project aimed at putting into production the natural gas of XV Midia Block, offshore Black Sea, Romania.

The contract will be applicable only to the final decision to invest in the Midia Gas Natural Gas (MGD Project) project, says Black Sea Oil & Gas. The MGD Project consists of 5 production wells (1 subsea well at Doina field and 4 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. A 126 km gas pipeline will link the Ana platform to the shore and to a new gas treatment plant (GTP). The processed gas will be delivered into the National Transmission System operated by Transgaz at the gas metering station to be found within the GTP.

The contract is concluded for a period of 15 years and has the date of commencement of natural gas transport on February 1, 2021, at a transmission capacity of 1 billion cubic meters per year.

"The BSOG continues, along with the impact assessment of the Offshore Law, to move forward with all the necessary activities to reach the point where the partners and shareholders will be able to make the decision to invest. These activities include the fulfillment of all project authorization requirements, the signing of the gas sale and purchase contract, the completion of orders for long-term procurement equipment, the signing of the general business contract and the development drilling hole. The outcome of assessing the impact of the Offshore Law on the project will be a key factor in establishing a favorable decision to invest, "said Mark Beacom.

"In view of the natural gas deposits discovered in the Black Sea in the last period, Transgaz intends to expand the National Transport System in order to create an extra take-off point for the natural gas coming from the Black Sea submarine exploitation perimeters. The project consists of building a new 20 "(Dn 500) gas pipeline designed to carry natural gas at a pressure of 55 bar, with a total length of approximately 24.37 km and connecting the Black Sea coast with the pipeline transport Transit 1 on the Black Sea coast - Corbu - Săcele - Cogealac - The garden. The project will contribute to the sustainable development of the area, and all natural gas coming from this perimeter will enter the National Transit System, "said Ion Sterian, Transgaz's General Manager.

Black Sea Oil & Gas is a Romanian based independent oil and gas company, targeting offshore exploration and development of conventional oil & gas resources, owned by The Carlyle Group and the European Bank for Reconstruction and Development.

BSOG is the operating company in these perimeters in the partnership with Petro Ventures Resources SRL (20% stake) and Gas Plus Dacia SRL (15% stake).