"Shell" will explore for oil and gas in Block "Silistar" in the deep-water Black Sea

The company "Shell Exploration and Production (LIX) B.V." has been elected the holder of permit for deep-water prospecting and exploration of oil and natural gas in Blocks "1-14 Silistar" in the Black Sea. This news has been announced by Energy Minister Temenuzhka Petkova.

"Shell" will invest 18.6 million euros, VAT excluded, in the exploration and will pay to the state a bonus of 4.9 million euros, without VAT, upon signing the contract for prospecting and exploration. The company’s proposed working program includes 2-D and 3-D seismic studies, as well as measures for the protection of the environment, the human health and the cultural values.

"Royal Dutch Shell Plc.", the parent company of "Shell Exploration and Production (LIX) B.V.", has been a leader in deep-water exploration and extraction for nearly 30 years and has more than 20 major deep-water projects. "Shell" is quite familiar with the Black Sea region, since it has recently conducted a deep-water exploration drilling in a Turkish block in the Western Black Sea.

The contract for prospecting and exploration is to be signed within a month, after the Government has given its approval and authorization to the Energy Minister to conclude the contract.

The launch of the tenders for prospecting and exploration in the deep-water Black Sea has been one of the first decisions of the Government in the energy sector. The exploration of block "Silistar" is part of the increase in indigenous yield that represents one of the primary conditions for ensuring energy security and independence. The exploration of block "Khan Asparuh", which was contracted in 2012, is at very advanced stage and the first exploratory drilling is scheduled for early next year.