Black Sea Oil & Gas (BSOG), the oil and gas operator that began gas production at its Midia perimeter in Romania's offshore, initiated a process of strategic evaluation of the project to "prepare the company for a new stage of growth," Ziarul Financiar reported quoting sources familiar with the process.

This can mean either finding a buyer or attracting a new investor to the project, the sources explain.

BSOG is controlled by the investment fund Carlyle. It operates the Romanian offshore perimeter through Midia Gas project Development (MGD). BSOG decided to start gas production in Romania in a complex situation: the gas price is at a historical level, but the war began close to Romania's border and the production site.

In 2015, Carlyle paid USD 42.5 mln to get the concession perimeter, and it invested USD 400 mln before beginning production. The perimeter's reserves are estimated at 10 bln cubic meters worth over USD 12 bln.

andrei@romania-insider.com

(Photo source: Dreamstime.com)