ExxonMobil and OMV Petrom Start Drilling Domino-2 Well in Romanian Black Sea
ExxonMobil Exploration and Production Romania Limited, an affiliate of Exxon Mobil Corporation, and OMV Petrom S.A. (OMV Petrom) today announced the start of drilling at the Domino-2 well in the deepwater sector of the Neptun Block offshore Romania in the Black Sea. Data collected during the drilling program will be used to assess the size and commercial viability of the gas field discovered by the Domino-1 exploration well in 2012.
"If the discovery proves to be commercially viable, ExxonMobil would leverage its global deepwater experience and project execution expertise to ensure safe, environmentally responsible, and timely resource development", said John Knapp, managing director of ExxonMobil Exploration and Production Romania.
As operator of Neptun Deep, ExxonMobil brings extensive experience and industry-leading technology to Romania, and has a long history of safely drilling wells in deepwater locations around the world.
"We will capitalize on more than 40 years of experience in the shallow waters of the Black Sea to contribute to the success of a pioneer project like Neptun Deep", said Gabriel Selischi, member of OMV Petrom’s Executive Board, responsible for Exploration and Production. "We are committed to significant investment in the exploration, development and production of hydrocarbons to ensure Romania domestic oil and gas".
The Domino-2 well is located approximately 200 kilometers offshore and is being drilled from the Ocean Endeavor rig in a water depth of about 800 meters.
The successful progress of the Neptun Deep Block would encourage positive economic and social benefits through the development of the offshore sector, local infrastructure, employment opportunities and advanced technology application.
ExxonMobil Exploration and Production Romania and OMV Petrom each hold 50 percent of the deepwater sector of the Neptun Block.
This news release contains forward-looking statements. Forward-looking statements can be identified by words such as "anticipates", "intends", "plans", "seeks", "believes", "estimates", "expects" and similar references to future periods. While forward-looking statements are based on assumptions and analyses made by us that we believe to be reasonable under the circumstances, whether actual results and developments will meet our expectations and predictions depend on a number of risks and uncertainties which could cause our actual results, performance, and financial condition to differ materially from our expectations. Any forward-looking statement made by us in this news release speaks only as of the date on which it is made. Factors or events that could cause our actual results to differ may emerge from time to time, and it is not possible for us to predict all of them. We undertake no obligation to publicly update any forward-looking statement, whether as a result of new information, future development or otherwise, except as may be required by law.
Neptun Block (Deep Water Sector)
The Neptun Block deepwater sector covers an area of approximately 7,500 square kilometres in water depths ranging from 100-1,700 meters. ExxonMobil Exploration and Production Romania Limited and OMV Petrom signed an agreement in November 2008 for ExxonMobil to acquire a 50 percent interest in the deepwater sector of the Neptun Block. In 2012, ExxonMobil and OMV Petrom announced the Domino-1 exploration well encountered natural gas in the deep water sector of the Neptun Block. The Domino-1 well was located 170 kilometres offshore in water about 1,000 meters deep.
ExxonMobil, the largest publicly-traded international oil and gas company, uses technology and innovation to help meet the world’s growing energy needs. ExxonMobil holds an industry-leading inventory of resources, is the largest refiner and marketer of petroleum products and its chemical company is one of the largest in the world. ExxonMobil affiliates or predecessor companies have been operating in Romania since 1903. ExxonMobil is highly experienced in deepwater exploration.
OMV Petrom is the largest integrated oil and gas group in Southeastern Europe, with an annual oil and gas production of approximately 66 mn boe. The Group has a refining capacity of 4.2 mn tons / year and owns an 860 MW high efficiency power plant and a 45 MW wind park. OMV Petrom is present on the oil products retail markets in Romania and neighboring countries through approximately 800 filling stations.
OMV, Austria’s largest listed industrial company, holds a 51.01% share in OMV Petrom. The Romanian state, via the Ministry of Economy, holds 20.64% of OMV Petrom shares, the Property Fund holds 18.99% and 9.36% is free float on the Bucharest Stock Exchange.
In the last nine years investments for the consolidation and modernization of OMV Petrom amounted to EUR 10 bn. The annual direct, indirect and induced impact of OMV Petrom in Romania’s GDP is around 5%.
Starting 2007, OMV Petrom integrated the principles of corporate responsibility within its business strategy. In this period, the company allocated more than EUR 40 mn for the development of communities in Romania, focusing on environment protection, education, health and local development. Andrei’s School is the main platform for community involvement.