The positive results, obtained by implementing the works program set in the annual petroleum operating programs, have led to an increase of the initial volume of proven reserves, for a number of eleven blocks, respectively: Roman, Chirpar, Paingeni, Tarcesti, Sausa, Zau de Campie Saulia, Petis, Sabed, Taga, Alunu and Retis.
“S.N.G.N. Romgaz S.A. and A.N.R.M. agreed to continue the petroleum exploitation activities in the afore-mentioned blocks by concluding addenda on extending the exploitation period”, the company said in a statement.
According to the provisions of art. no 27 paragraph (2) of Petroleum Law no 238/2004, the initial concession period may be up to 30 years, with the possibility to be extended by maximum 15 years.
Upon approval of the addenda, by Resolution of the Romanian Government, S.N.G.N. Romgaz S.A. is going to identify a long-term exploitation potential which aims at ensuring a constant efficient reserve replacement rate.
Romgaz reported revenue of RON1.48 billion in the first quarter of 2018, down 1% from the year-earlier period, and a 10.6% lower net profit, of RON501 million.
The company expects its turnover to decrease slightly to RON4.3 billion in 2018, from RON4.58 billion in 2017, and its net profit to fall to RON1.3 billion this year, from RON1.85 billion in 2017.