Energean, Greece’s sole oil producer, said on Friday it had secured approval to develop the Kataloko field in Western Greece, its third such project in the Eastern Mediterranean.
The $50 million development plan is targeting 11 million barrels of oil equivalent (boe) discovered in the early 1980s by the state-owned Public Petroleum Corporation but which has remained undeveloped since.
“Energean is now unlocking the value of this very important project for the country as well as revealing the potential for wider exploration of the East Adriatic region,” Energean Chief Executive Mathios Rigas said.
Energean has secured a 25-year exploitation concession for Katakolo which involves developing the field through extended reach wells from an onshore location in the area. It plans to develop Katakolo alongside its two other current development projects, the Prinos Oil Field offshore northeastern Greece and the Karish and Tanin gas fields offshore Israel.
Energean said it planned to take a final investment decision on the project in 2018 and drill the first wells in 2019, with first oil expected in 2020. [Reuters]