Seventh guarantee extension request expected for block winners in west

The Greek State is considered certain to request letter of guarantee extensions for a seventh time from the winning bidders of exploration and exploitation rights concerning three blocks in western Greece. The current letters of guarantee are set to expire at the end of this year.

Despite the series of extensions made over the past year-and-a-half, it appears that the Greek State still requires additional time to finalize details before the exploration and exploitation contracts offered for the blocks are eventually signed.

ELPE (Hellenic Petroleum) was selected for an onshore block in the Arta-Preveza area, northwest Greece. This block was also contested by Energean Oil & Gas. ELPE was also awarded a second block in the northwest Peloponnese. ELPE was the sole bidder. A third block in the Etoloakarnania area was awarded to Energean Oil & Gas, also the sole bidder.

The Greek State’s first of six gurantee extension requests was made in July, 2015. Further requests followed in October and December of 2015, as well as in April, June and September this year.