Block Energy plc is preparing the farm-out process for the company’s project III, comprising blocks XIB and XIF, in Georgia.
STRATEGY
The project spans the three fields of Patardzueli, Rustavi and Teleti, which are all under a PSC until 2048.
Operations focus on the “multi-tcf undeveloped gas resource” within the Lower Eocene and Upper Cretaceous reservoirs which the company estimates to hold 984 bcf 2C contingent resources.
“Following continued development during 2023, project III was declared a gas resource of strategic importance by the State of Georgia, and Block has concluded it is now ready to support a farm-out at the asset level,” said the company.
Project III has been funded from cashflows from project I and, although “well funded”, Block would consider drilling additional project I wells next year as the farm-out strategy progresses.
A memorandum of understanding has already been signed with the State of Georgia to support commercialisation of project III gas resources.
Block noted that Georgia is integrating more with the global economy, including the country’s acceptance as an EU candidate nation and its strategic partnership with China.
The company claims to be Georgia’s largest independent oil and gas company with seven PSCs, covering 4,404km2, near the capital Tbilisi.