On June 22, 2023, OMV Petrom organized an online conference with analysts and investors to present the Neptun Deep project. The conference was broadcasted via live webcast. You can access the webcast at the following link: https://webcast.omvpetrom.com/cast/event?string=bHjGy283x
Transcript Q&A session (PDF, 211,0 KB)
The Black Sea offshore gas resources represent a huge opportunity for Romania. The natural gas from the Neptun Deep block could contribute to Romania’s energy security and energy transition. Furthermore, Neptun Deep will boost the economic development of the country, bringing additional budget revenues and boosting the development of projects in associated industries.
The Neptun Deep block in the Black Sea has an area of 7,500 square km and is located at about 160 km away from the shore, in water depths ranging between 100 and 1,000 meters.
The exploration, development and production rights for the Neptun Deep block are owned by OMV Petrom and Romgaz, each titleholder with a 50% stake. OMV Petrom is the project operator.
Since 2008, the exploration of the Neptun Deep block has included two 3D seismic acquisition campaigns and two exploration drilling programs.
During the 2011-2012 drilling campaign, the first deepwater well, Domino-1, also made the first gas discovery. During the second drilling campaign, 2014-2015, seven wells were drilled, including Pelican South-1, which uncovered the Pelican South reservoir.
In December 2022, project titleholders OMV Petrom and Romgaz submitted the declaration of commercial discovery for the Domino and Pelican South reservoirs to the National Agency for Mineral Resources.
In March 2023, OMV Petrom and Romgaz signed with Transgaz the transport contract for the natural gas from the Black Sea.
In June 2023, OMV Petrom and Romgaz approved the development plan for the Domino and Pelican South commercial fields.
As the company has not received yet the clarifications required in relation with the development plan submission date and with the Offshore Law, it had to apply the dispute resolution mechanism provided by the petroleum concession agreement. However, this will not impact the pace of the project and the company is confident that, once matters are clarified, this arbitration will also be settled.
The first cubic meters of natural gas are expected to be extracted and entered into the national transmission system in 2027.
Neptun Deep’s technical infrastructure
The infrastructure required for the development of the Domino and Pelican South commercial fields includes 10 wells, 3 subsea production systems and associated flow lines, one offshore platform, the main gas pipeline to Tuzla and a gas measurement station. The platform generates its own energy, operating at the highest standards of safety and environmental protection. The entire infrastructure will be operated remotely, through a digital twin. This allows the optimization of processes and will contribute to the improvement of environmental performance, by making energy consumption more efficient and reducing emissions.
Neptun Deep’s potential
Neptun Deep is the largest natural gas project in the Romanian Black Sea and the first deepwater offshore project in Romania. The estimated investments for the development phase of the project are up to EUR 4 billion.
During the development phase, Neptun Deep will supply an estimated total volume of around 100 billion cubic meters of natural gas. Romania will therefore become the largest gas producer in the European Union.
To give an example of the project's size: the estimated natural gas production is equivalent ~30 times the current annual demand of ~4.3 million households.
The economic impact on the Romanian economy expected from the Neptun Deep project, according to an independent study performed by Consilium Policy Advisors Group (CPAG):
Please find more details in the presentations below: