Blog – Full Width

  1. Home
  2. Blog – Full Width
April 19, 2017
by

Global Oil&Gas SE Europe and Med 2017 in Athens 26 Sept.

Exhibition

The Global Oil&Gas Exhibition provides an important platform for stakeholders in the region to showcase their products and services. Meeting existing and future customers face-to-face is now more important than ever. The exhibition will give you the opportunity to strengthen existing relationships and create new ones, see new technological developments and innovations, discuss future business and learn more about the market.

Exhibiting offers your company the opportunity to strengthen current investments, demonstrate advanced technologies and expertise, and increase your brand awareness with a highly focused audience from around the region and beyond.

Opening hours

26 – 28 September 2017: 10.00‐17.00

Conference

For the first time, Global O&G SE Europe & Med summit is co-located with APPEX Regional, the official summit of AAPG.  AAPG are the distinguished technical experts in geology and field appraisal and APPEX exists to provide a platform for deal-making and project development in the E&P industry.  The summit now covers full 3 days of content covering the entire value chain for the oil & gas industry in this important region.

One of the pillars of E.U. policy lies in the diversification of energy resources alongside the pursuit of member states towards greater security and sovereignty of their own hydrocarbons requirements.  The region of South East Europe, strategically located between the Black and Mediterranean seas is of fundamental importance not only in the realization of offshore production but also as the vital conduit between future energy supplies from Azerbaijan and the E.U.  The Global Oil & Gas Black Sea and Mediterranean conference and expo brings together stakeholders from across the region and is the annual event for keeping abreast of developments in this critical area.
 

Opening hours

26 September:  09.00‐17.00

27 September:  09.00‐17.00

28 September:  09.00‐17.00

Organisers

About ITE

For more than two decades, we have been connecting businesses to some of the world’s most significant oil and gas markets. Our exhibitions and conferences provide networking opportunities for the industry to meet key influencers and build strong relationships with peers from around the world.

We create forums that enable the policy-makers, technical experts and senior business executives to directly communicate important information and in doing so, provide a valuable insight into the forces that are directing the development of dynamic markets. We are uniting buyers and specifiers with global suppliers of all sizes – the oil majors through to specialist SMEs.

To find out about other oil and gas events organised by ITE Group, please visit www.global-oilgas.com

Venue

The Global Oil&Gas South East Europe & Mediterranean Exhibition and Conference will be held at the Metropolitan Expo in Athens, Greece.

Address:
Metropolitan Expo
Athens International Airport – Eleftherios Venizelos
19019 Spata

Contact:
T:  +30 210 354 2900
E: info@metropolitanexpo.gr
Visit the website: http://www.metropolitanexpo.gr

There is a shuttle bus that operates between Sofitel/Airport and the Expo.

Register for the Conference

Delegate Registration

Delegate Rates    
 		 €800 Early Bird rate for 3 day conference (normal price €900)
  €495 Early Bird rate for 2 day Global O&G SE Europe only (normal price €595)
 €300 Early Bird rate for APPEX Regional conference (normal price €400)


Discounts available for AAPG members

For more information and group registrations, please contact: og@ite-events.com

March 24, 2017
by

Albania: “Changes To Hydrocarbons Law To Enhance Operations In The Upstream Sector”

Albania is the largest exporter of crude oil in the Energy Community and is home to the largest onshore oil field in Europe (i.e. Patos Marinza). A number of foreign investors have already entered this market, yet regulation of the upstream sector is based on old and not comprehensive legislation from 1993 (amended several times), which does not reflect the latest development of the sector related to exploration and production of hydrocarbons in Albania.

In respect to this oil and gas sector, regulatory and policy developments have long been underway and discussed with relevant stakeholders as part of the overall state energy strategy. However, new amendments to the existing law no. 7746 / 1993 “On Hydrocarbons” (exploration and production), as amended (the “Hydrocarbons Law“) have only been adopted on 2 Feb 2017, striving to regulate the activity of exploration and production of hydrocarbons in Albania.

The governmental objective introduced in these latest amendments, is to negotiate the terms of the Petroleum Agreements in the oil industry [the most common type of which used in Albania is a Production Sharing Agreement (“PSA“)] in a fair, transparent and competitive manner, to protect Albanian natural resources (inland and offshore) which are state owned, by guaranteeing the country’ national security, in line with the principles of Directive 94/22/EC of the European Parliament and of the Council “On the conditions for granting and using authorizations for the prospection, exploration and production of hydrocarbons”. Based on this principles, the execution of new PSAs or share transfers in existing Petroleum Agreements can be rejected by the relevant authorities in case there is any indication of Albanian national security infringement.

Whilst the right of explorations have remained unchanged, that means that can be conducted for a period of 5 years (subject to further extension up to the utmost period of 7 years), exclusive rights to exploit hydrocarbons now can be extended up to 5 years in maximum following the initial period of 25 years. Appraisal period has been definitely separated from the exploration period.

New changes give the possibility to contractor to benefit from fiscal stability clauses, up to 12 years from production of hydrocarbons, by keeping tax liabilities at same level during the 12 years’ period.

Along with the Natural Agency for Natural Resources (“AKBN“) which was created back in 2006 to deal, inter alia, with hydrocarbon activities on behalf of the Albanian state and operating as a specialized institution dealing with the negotiations of the PSA, the monitoring of petroleum activities and policy-making, the new legislative amendments aim to establish a new authority in charge of all technical consultancy services, scientifically speaking. The Scientific Hydrocarbon Institute will be responsible for conducting all studies, analysis, providing consultancy services and acting as a technical opponent of proposed projects in this sector, monitoring the implementation of relevant production sharing agreements during the exploration and development of hydrocarbons in Albania, on behalf of relevant state authorities (not only in the hydrocarbon sector but also in relation to the refining, transport and trade of hydrocarbons and its by-products). In light of above changes, the competences of AKBN will be revisited and a new agency responsible for hydrocarbons (currently operating as a department of the AKBN) will be in charge of some of competences performed currently by AKBN.

While this amendments have been introduced to facilitate incoming foreign direct investment in the hydrocarbon sector, it remains to be seen whether the new rules and newly established structures will contribute to promote more exploration opportunities in Albania during 2017.

February 15, 2017
by

Pennine signs Velca Block PSA, anticipates into Albania’s energy industry.

 “Pennine” is pleased to announce that it has signed a Production Sharing Agreement (“PSA”) with Albpetrol Sh.A (“Albpetrol”) for the exploration and development of the Velca Block in Albania.

The finalized PSA contains a license agreement signed by Pennine, Albania’s Ministry of Energy and Industry, and Albpetrol, the country’s state-owned energy firm, for a six(6)-year exploratory lease-convertible to a 25-year production lease, upon discovery of oil and/or natural gas accumulations.

“This is a very exciting day for Pennine. Albania has a long history of oil and gas development dating back nearly a century, and Pennine is excited to bring its expertise to this region” says Chief Executive Officer N. Desmond Smith.

“Albania has mature energy infrastructure, established legislation and regulations, and a recent history of significant foreign investment for the development of its energy sector,” adds Mr. Smith. “We look forward to working in the Republic of Albania, providing value to Pennine shareholders, and bringing prosperity to the people of Albania.”

Pennine intends to initiate a Technical Report in the next 60 days, and with existing data, identify potential drilling targets within the Velca Block.

Pennine is currently working with industry experts from Albpetrol and the Ministry of Energy and Industry in an advisory committee, with Pennine acting as operator.

“Our understanding and experience with Albania has enabled us to develop a partnership with the Albanian government and Albpetrol through a new production sharing agreement. We believe this agreement provides a balanced risk-and-reward contract for the exploration and development of the Velca Block-and, we hope, many other opportunities in Albania,” says Pennine chairman Richard Wadsworth, who led Bankers Petroleum Ltd. in re-developing the Patos Marinza oilfield as its president from 2004 through 2008.

“We look forward to a seamless integration of Pennine into Albania’s oil and gas exploration and development landscape.”

The PSA consists of an Exploration Phase and a Drilling Phase. Under the Exploration Phase, Pennine and Albpetrol will conduct an examination of all currently existing geological, geophysical and well data on the Velca Block, and conduct any processing or re-processing of data to select drilling targets. The Drilling Phase will consist of a commitment to drill a minimum of two (2) wells, to a minimum depth of 2,500 metres.

Pennine will recover all exploration and development costs from 90% of the net operating revenue, after the state’s 10% royalty tax, then subject to an R-factor revenue sharing with Albpetrol, ranging from 2% to 15% of net operating revenue, depending on the multiple of cost recovery to the project. After payout of all costs, the interest in the revenue stream is shared, with 50% earmarked for the Albania Ministry of Energy and Industry and 50% for the participants of the PSA (a 100% working interest before payout and a 50% working interest after payout).

Main terms and conditions of the Velca Block PSA were signed in February 2016. Pennine and Albpetrol agreed in April 2016 to the terms of the PSA and submitted the document to Albania’s Ministry of Energy and Industry for approval. Pennine reviewed the License Agreement, an integral component of the PSA, in December 2016.

In connection with this transaction, Pennine will pay a finder’s fee to an arm’s-length entity through the issuance of up to 7,000,000 common shares subject to TSX Venture Exchange policy.

February 12, 2017
by

Albania’s Gas Master Plan sets out an Exciting Future

Interestingly enough, the gas sector once played an important role in Albania and the country was a relatively large gas producer. In 1982, gas production amounted to one billion cubic metres but has now dropped to mere 0.01 billion cubic metres. It is worth noting that Albania and Kosovo are the only countries in the Western Balkan region which are not connected to international natural gas networks.

The existing oil network, which is 498 km long, is not in a good shape, either. It connects all the existing sources of oil, with the exception of the pipeline that connects the natural oil wells in Delvina with the Ballsh pipeline (the latest one being renovated), but it is no longer functional. Most of it is corroded and defective which makes its use unviable. Consequently, a new oil transmission and supplying system is needed.

Continue reading
January 16, 2017
by

Strategic International Cooperation on Science and Technology Innovation: R&D on Low-head SHP packaged units

International Center on Small Hydro Power, an international organization co-funded by the UN devoted to the promotion and development of small hydro power globally. The organization is constantly searching for ways to increase cooperation projects with countries also devoted to renewable energy projects, in particular small hydro, for which reason we contact you in this instance. We are glad to announce that the Ministry of Science and Technology of the People’s Republic of China has recently approved a program aimed at expanding cooperation with fellow countries involved in the One Belt One Road initiative with a focus on small hydro power.

Attached you may find the notice originally issued by the Chinese Ministry of Science and Technology. We welcome the submission of projects on “Research & Development on Low-head SHP packaged units”. Seeing the relevant role placed by Albania on the development of SHP initiatives, we welcome your applications. Additionally, provided there were any other private initiatives, academic and scientific research institutions interested in participating, we would appreciate the sharing of this information.

Please note that the deadline for the application by foreign agencies is next Friday January 20, 2017.

[embeddoc url=”https://info.aea-al.org/wp-content/uploads/2017/01/MST-2017_OBOR-Innovation-Notice.pdf” download=”all” viewer=”google”]

December 21, 2016
by

Intesa Sanpaolo increases 2016 GDP growth forecast for Albania to 3%

Intesa Sanpaolo said on Wednesday it has lifted its 2016 economic growth estimate for Albania to 3.0% from 2.8% forecast earlier.

“GDP is forecast to grow by 3% (with possible upside to 3.3%) in 2016, and to further increase by 3.5% (with possible upside to 3.7%) in 2017, which compare to a growth rate of 2.6% in 2015,” Intesa Sanpaolo said in its December forecast note which considers the countries where ISP has subsidiaries.

Albania’s growth will be driven by investments in large FDI-financed energy projects, such as the Trans Adriatic Pipeline (TAP), higher private consumption, and higher revenues in the tourism sector, according to Intesa Sanpaolo.

“The TAP construction project is fully in process in 2016-2017, with a total investment of about 1.5% of GDP per year in each of the two years,” Intesa said.

The bank mentioned the positive trend of decreased unemployment. According to the latest data from the Albanian statistical office, INSTAT, quoted by the bank, the jobless rate in Albania dropped to 14.7% in the third quarter of the year from 15.5% in the second quarter.

Consumer prices, which are the main focus of the monetary policy, are returning to an upward trajectory, the lender said. Inflation is expected to progressively approach the central bank’s target of 3% by 2018.

In November, consumer prices in Albania increased by 1.9% on the year. Intesa Sanpaolo projects an annual average inflation of 1.3% in 2016 and 2.0% in 2017.

The level of public debt is expected at 71.4% of the country’s gross domestic product (GDP) in 2016, and 69.1% of the GDP in 2017, Intesa Sanpaolo said.

Bank lending in Albania has gathered pace, supported mainly by domestic currency lending, though non-performing loans, 21.4% of all credits as of end-October, continue to be a drag on credit growth, Intesa Sanpaolo noted.

The bank also said that the increased NPLs and the environment of near-zero interest rates are the main reason for the decrease of the Albanian banking sector’s net profit.

Intesa Sanpaolo Bank Albania was the country’s fourth largest lender by assets at the end of the third quarter. It had a net profit of 1.9 billion leks (14.6 million euro) in the January-September period.