OIL & GAS EXPLORATION & PRODUCTION

In 2014, Group’s activities were focused in Greece, through the participation of HELLENIC PETROLEUM as an Operator (33.3%) in an international joint venture for the lease of the offshore region of the Patraikos Gulf and in Egypt, through participations in international consortia in the areas of West Obayed (W. Desert) and Mesaha (Upper Egypt).

In the Patraikos Gulf area, the minimum committed works for the first three year exploration phase includes, amongst others, the recording of 3D seismic studies of a total area of 800 sq. km. and 2D regional lines of length of 300 km. In the fourth quarter of 2014, the first geological studies in the area started. Furthermore, the company continued the study of available exploration data of both offshore and onshore regions of Western Greece, in preparation for a possible submission in an international tender announced by YPEKA. On this context,HELLENIC PETROLEUM submitted an offer for the lease of Arta-Preveza and NW Peloponnese areas, following a relevant tender issued by the Ministry of Production Restructuring, Environment & Energy.

In West Obayed, in October 2014, the consortium (HELPE 30%, VEGAS 70%) executed the last obligatory exploration drilling, which did not produce any positive results. After the refusal of the state company EGPC to renegotiate the term of the Contract’s duration and the executing of additional drilling, the consortium unanimously decided to relinquish from the area (5 December 2014).

In the Mesaha region, the consortium (Petroceltic, HELPE, KEC and Beach Petroleum) unanimously decided to return the area to the state company GANOPE, following the results of the exploratory drilling Mesaha 1x and without having any remaining financial obligations.