Petrom started production on Delta 6 and Lebada Vest offshore wells

Both fields, Delta and Lebada Vest, are located in the offshore block Histria XVIII in the Black Sea.

“This recent production start-up on Delta field in the second half of this year is a great achievement, taking into consideration the technical difficulties we have experienced during drilling Delta 6. As the concept of extended reach drilling has proved to be successful, Delta 6 might become our most valuable well in Romania”, said Johann Pleininger, Petrom Executive Board Member responsible for Exploration and Production.

Test results have confirmed the potential of both wells to deliver together more than 4,500 boe/d by the end of this year.

In 2008, the field development was reassessed in order to reduce risks and the level of investments needed. Therefore, the drilling of an extended reach horizontal well, Delta 6, was decided.

Delta 6 started production through the existing Petrom offshore facilities at Platform 7 in the first part of Q3/09. The well is currently producing at a reduced testing rate of approximately 2,200 boe/d, until finalization of the expansion of the surface facilities. The maximum rate of 3,400 boe/d is expected to be reached in Q4/09.

Another newly-drilled well, Lebada Vest 4 was brought on stream towards the end of August. Lebada Vest 4 is currently producing 900 boe/d.

The wells have the potential of collectively delivering more than 4,500 boe/d by the end of this year. Currently, the cumulated production of the two new wells accounts for approximately 10% of Petrom’s daily offshore production, which stands at 32,000 boe/d. Reaching the maximum production on the two wells will enable Petrom to increase the output from the offshore facilities to more than 33,000 boe/d and to extend the economic lifetime of the facilities.

Romanian Black Sea exploration in near shore areas started in 1969. The first hydrocarbon discovery was made in 1980 and the first production started in 1987.

Petrom is currently operating two offshore blocks (Histria XVIII and Neptun XIX), covering an area of 13,880 km2.

Currently, Petrom is operating five producing commercial fields: Lebada Est, Lebada Vest, Sinoe, Pescarus and Delta. The current offshore production reaches around 32,000 boe/d which accounts for approximately 18% of Petrom’s production in Romania.

Petrom operates in the business segments of exploration and production, refining, marketing as well as gas. Petrom has proved oil and gas reserves of 0.9 bn boe, a maximum refining capacity of 8 million metric tons per year, approximately 550 filling stations in Romania.

The oil company has 269 filling stations in Moldova, Bulgaria and Serbia. In 2008, Petrom recorded sales of 4,552 million euros, and EBITDA of 969 million euros.