Shell has agreed a $22million deal to farm into Canadian firm Petromanas’ exploration rights in Albania.
The deal will give Shell a further 25% interest in the Shpirag-2 onshore site, which covers 852,000 gross acres.
The blocks feature nine existing oilfields, with the partners intending to drill three wells and run seismic programmes on the rest of the site, with an expected £200million spend.
“Our understanding of the prospects on Blocks 2-3 continues to evolve through a combination of our own experience drilling the Shpirag-2 well and our partner’s insight generated through recent and ongoing work in analog plays in the region,” said Mr. Glenn McNamara, CEO of Petromanas.
“The joint venture has determined that the defined exploration program will include three wells and a seismic program with gross spending projected to approach US $200 million.
“Reducing the Company’s working interest to 25% allows the Company to mitigate risk and improve financial flexibility.”
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