site.btaUnlocking Black Sea Natural Gas Potential Could Bring Major Benefits to Bulgarian Economy - Report

Unlocking the natural gas potential in Bulgaria's territorial waters of the Black Sea could bring major benefits to Bulgaria’s economy and energy security, according to a report by EY, commissioned by OMV Petrom and NewMed Energy, and shared with the Bulgarian News Agency on Tuesday.

The analysis says that every EUR 1 billion invested in offshore gas projects could generate up to EUR 5.2 billion in GDP and EUR 1.5 billion in government revenues.

Bulgaria still relies heavily on imported natural gas, with domestic production playing a limited role in meeting demand. The report also underscores the strategic importance of Black Sea gas in satisfying the annual consumption, which hovers around 2.7 billion cubic metres.

Recent discoveries and ongoing developments in Romania, Bulgaria, and Turkiye strengthen the case for tapping into the Black Sea’s untapped resource potential, highlighting its growing role as a valuable source of natural gas for the region.

"The Black Sea has significant potential for Romania, Bulgaria, and the entire region. Unlocking this potential requires high-risk investments during the exploration phase and significant capital for development - investments amounting to billions of euros. That is why investors need a stable and predictable regulatory framework," Cristian Hubati, OMV Petrom Executive Board Member responsible for exploration and production, said as quoted in a press release. OMV Petrom is the operator of the Han Asparuh block, where it is moving forward with exploration activities in partnership with NewMed Energy. The companies have recently secured a drilling vessel, with drilling operations expected to begin in the fourth quarter of this year.

Han Asparuh is an exploration block located in the western Black Sea, south of Romania’s Neptun Deep block. It spans 13,712 square kilometres with water depths reaching just short of 2,000 metres. Exploration activities began in 2012 and have included geological and geophysical surveys, as well as the drilling of three exploration wells. An extensive 3D seismic campaign was finalized in May 2020 to identify potential drilling targets.

OMV Petrom has over 40 years of experience in oil and gas production in the Black Sea. In the Romanian sector, the company operates several blocks producing oil and gas in shallow waters. In deeper waters, OMV Petrom - in partnership with Romgaz - is developing the Neptun Deep project, which holds an estimated 100 billion cubic metres of gas. First gas production is expected in 2027.