A government rescue plan for Prinos, Greece’s only producing oil field, in the country’s offshore north, will offer the Greek State a small stake in Energean Oil & Gas, the field’s operator, and provide state guarantees for 75 million euros in financing needed by the company in 2020 and 2021 for investments included in its business plan, according to well informed sources.
The government is believed to be just days away from announcing its finalized rescue plan for Energean’s Prinos field, hit hard by the pandemic and lower international oil prices, factors that have impacted the global upstream industry.
Greek government officials are currently discussing the Prinos rescue plan with the European Commission, whose approval will be required. Though alterations to the aforementioned solution cannot be ruled out, good news on the rescue plan appears imminent.
Energean Oil & Gas recently published a business plan that lists interventions needed for Prinos’ rescue as well as the field’s sustainability over the next 15 years. The plan’s measures include actions to reduce emissions and drastically reduce the company’s environmental footprint.
Energean has invested approximately 460 million euros at Prinos during the company’s 13 years of operations at the field, including 50 million euros between last September and May, to avoid the closure of offshore and related onshore facilities. Some 270 jobs have been protected.