Romanian oil and gas group OMV Petrom reached an agreement for the transfer of 40 onshore oil and gas fields in Romania to Dacian Petroleum as part of a business transfer arrangement, the company announced.

The 40 fields have an overall production of 1,700 barrels of oil equivalent per day (boe/d), representing some 1% of OMV Petrom’s total output.

The transfer of rights and obligations under the concession agreements is subject to approval by the relevant authorities, according to the Oil Law. The transfer is part of the portfolio optimization program within the Upstream Division of OMV Petrom, which aims to streamline operations and focuses on the core and most profitable fields.

Dacian Petroleum enters into the business transfer arrangement with a view to extending the life cycle of the 40 fields, which are considered marginal for OMV Petrom. Under the agreement, OMV Petrom will also transfer wells and related oil and gas infrastructure, together with approximately 190 employees.

The selection process for the company to take over the licenses was conducted according to best international practices, according to OMV Petrom. The process spanned over 30 months and several operating companies from Romania and abroad participated in it.

This is the third transfer that the group makes as part of its Upstream portfolio optimization program. In August 2017 and March 2019, OMV Petrom transferred another 28 deposits to Mazarine Energy Romania.

editor@romania-insider.com

(Photo source: Pixabay.com)