Black Sea Oil & Gas (BSOG) and its partners have given two contracts to GSP Offshore pertaining to the $400m Midia Gas Development Project (MGD Project) located offshore Romania.
One of the contracts won by GSP Offshore for the MGD Project is for carrying out engineering, procurement, construction, installation and commissioning (EPCIC) of all offshore and onshore facilities. Under the second contract, the Romanian offshore contractor will be responsible for the development drilling.
The MGD Project, which is located in the Black Sea, comprises the Ana and Doina gas fields that were discovered in 2007 and 1995, respectively.
Depending on final investment decision (FID), GSP Offshore will undertake procurement, construction, installation and commissioning of the complete subsea gas production system for the Doina field. It will also take up the construction, installation and commissioning of new unmanned production platform to be located over the Ana field.
GSP Offshore plans to construct the production platform at its fabrication yard in Constanta. On the other hand, the subsea pipeline system that will connect the production platform to the shore along with the onshore pipeline and the new gas treatment plant (GTP) will all be constructed in Vadu village.
GSP Offshore CEO Gabriel Comanescu said: “Our local and global expertise in both drilling and offshore construction, together with our assets and capabilities in Romania enables us to successfully deliver the MGD project.”
The development drilling contract to the company covers drilling of five production wells, which includes a subsea well at the Doina field and four platform wells at the Ana field. GSP Offshore will be using the GSP Uranus jack-up rig to execute the development drilling task.
BSOG CEO Mark Beacom said: “We are now very pleased to announce that we have concluded this EPCIC contract and Development Drilling Contract with the largest Romanian offshore contractor for our pioneering MGD project that could provide 10% of Romania’s gas needs, utilize the services of local contractors and subcontractors, deliver gas into the Romania market and deliver significant benefits to our local community as well as to the country.”
BSOG, which is partnered by Petro Ventures Resources and Gas Plus International in the MGD Project, estimates the construction of the entire project infrastructure to take two years.
Last month, the partners made an agreement to supply natural gas produced from the MGD Project to Engie for a minimum period of 10 years.