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Drilling dilemma: Energy Ministry sets 'strict' proposals for TotalEnergies in Blocks 8 and 10
News Bulletin Reports
2023-12-04 | 11:37
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Drilling dilemma: Energy Ministry sets 'strict' proposals for TotalEnergies in Blocks 8 and 10
TotalEnergies' exploration and oil and gas prospecting proposal for Blocks 8 and 10 were rejected by the Ministry of Energy, demanding amendments that achieve the following points:
- Increase the state's share from 56 percent and 64 percent, depending on the quantities that may be discovered, to between 64 percent and 72 percent.
- The drilling in Blocks 8 and 10 should take place within one year as a maximum limit from the contract's date of establishment, not extending until 2027.
- TotalEnergies should not wait until May 2025 to decide on drilling a second well in Block 9.
- TotalEnergies should undertake seismic surveys in Block 8 at its own expense.
Did TotalEnergies agree to these demands?
TotalEnergies has not provided any response yet, despite the meeting with its Chairman Patrick Pouyanné, Prime Minister Najib Mikati, Energy Minister Walid Fayad, and the Prime Minister's Advisor Nicolas Nahas in Dubai on the sidelines of the COP28 summit.
TotalEnergies responded that it would not decide on Lebanese demands before concluding the report related to the results of the first well in Block 9, stating that it needs a grace period that could extend up to two months.
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