Polish Oil & Gas Company-Libya (POGC-Libya), a subsidiary of PGNiG, signed an exploration and production sharing agreement (EPSA) with the Libyan state-owned National Oil Corporation (NOC). NOC also signed a production sharing agreement with PGNiG.
The EPSA covers the area of License 113 within the Murzuq Basin. PGNiG acquired this license in December 2007, in the fourth round of the public tender for the exploration and production of natural gas in Libya.
Block 113, with an area of 5,494sqkm, is situated at the borderline between the Murzuq and Gadamesh basins, close to the Algerian border. POGC-Libya will implement a minimum work program for the total amount of $108 million, including acquiring 3,000km of 2D seismic, 1,500sqkm of 3D seismic and drilling eight wells.
Signing the EPSA with the Libyan partner is reportedly in line with PGNiG’s exploration of hydrocarbon deposits outside Poland. It is also an element of the company’s broader strategy.
