PGNiG and Chevron to join forces on shale gas exploration
December 13, 2013
Polish state-controlled gas firm PGNiG signed a letter of intent with American fuel giant Chevron on cooperation in shale gas exploration in south-eastern Poland in order to reduce costs and speed up exploration work, PGNiG said in a press statement.
This is the first case of such cooperation between a Polish firm and a foreign investor in the shale gas sector.
"The initiative is part of PGNiG's new policy of openness to opportunities that might come from working with other companies interested in Polish shale gas deposits," PGNiG said.
"Cooperation would enable both firms to lower costs and - thanks to the effect of scale - acceleration of exploration works and, by the same token, of the process of estimating potential resources of shale gas in Poland," the statement read.
If exploration works turn out successful, the two companies could set up a joint company in which both will hold a 50% stakes. . A joint venture would bring together four licences in south-eastern Poland: PGNiG's Tomaszow Lubelski and Wiszniow-Tamoszyn and Chevron's Zwierzyniec and Grabowiec.
Binding agreements are expected to be signed in 2014.
The announcement follows Thursday press reports that PGNiG and Chevron would cooperate on two PGNiG licenses (though not the flagship Wejherowo) and on two of the four licenses owned by Chevron. Outlays for the project were to be "considerable," a person familiar with the matter told the daily Puls Biznesu.