Romanian gas producer starts exploration drilling in Slovakia

Romanian state-owned gas producer Romgaz will begin the exploration drilling for natural gas and oil in three perimeters in Slovakia between July and September. The state company owns a 25% share in these perimeters in Slovakia, together with a British and a Polish company. The work program for 2015 includes drilling two exploration wells at a depth of 1,200 m, according to Romgaz, reports local Mediafax. The exploration stage could last until 2016. Romgaz also owns a 30% share in two perimeters in Poland, together with a British and an Irish company. These projects are also in the exploration phase, which could last until the beginning of 2017. Romgaz’ expansion outside Romania is part of the company’s strategy to reduce the natural decline of its reserves and production. Last year, the company extracted 5.66 billion cubic meters of gas in Romania, the same as in 2013. Its turnover increased by 15%, to over EUR 1 billion, due to the gas price increase in Romania. The company's net profit reached a record level of EUR 315 million. This year, Romgaz plans to invest almost EUR 300 million, 22% more than last year. editor@romania-insider.com