Polish Oil and Gas Company (PGNiG) won a tender for acquisition of rights to explore for, to appraise and to produce hydrocarbons – in the Emirate of Ras Al Khaimah. The United Arab Emirates is another country in which the Polish company was recognized for knowledge and competence in the upstream area.
As a result of winning the round, the Company acquired shares in the license in the Emirate of Ras Al Khaimah with the right explore for, to appraise and to produce hydrocarbons.
‘The experience PGNiG has had so far in exploring oil and gas abroad is very good and it brings significant benefits to the company. United Arab Emirates is another country where we will develop our business. It is a very promising market,’ commented Piotr Woźniak, President of the Management Board of PGNiG SA. According to OPEC statistics for the UAE, proven reserves amount to 98 billion barrels of oil and over 6 trillion cubic meters of natural gas.
Initially, the operations will be carried out in three two-year exploratory periods with an option of extending by a two-year appraisal period, followed by a 30-year production period. After each of the exploration periods, there is the possibility of resigning from the license shares.
PGNiG will be obliged to conclude the Exploration and Production Sharing Agreement („EPSA”) with Ras Al Khaimah Petroleum Authority and perform exploration work.
The PGNiG Capital Group extends its exploration and production activities abroad. It has been operating in Norway for 11 years. Through a subsidiary company PGNiG Upstream Norway it holds shares in 20 exploration and production licenses on the North Sea shelf, and acts as an operator on two of them. The company manages hydrocarbon production from five fields and holds shares in two other that are under development. PGNiG has been operating in Pakistan for over 20 years, where it systematically increases natural gas production and strengthens its position on the local market. PGNiG SA operates two fields in Pakistan and intends to conduct further exploration and production projects. The Pakistani branch of the company is also gradually expanding the local mine infrastructure.
Source: PGNiG