Pennine’s Velca Block has best-case recoverable resource of 26.4 million barrels
Oil exploration, production and exports in Albania represent “good opportunities” for investment, according to a recent prospect overview compiled by a U.S. Department of Commerce entity.
The report, compiled by the department’s International Trade Administration (ITA) and posted to the export.gov website, cites estimates by Albpetrol Sh.A, Albania’s national oil company, that the country has 220 million barrels of oil reserves, and 5.7 billion cubic meters of natural gas reserves.
“The existing oil production operations, and current and new oil and gas exploration licences, both onshore and offshore, may represent good opportunities for U.S. oil and gas companies, as well as affiliated oil and gas service providers,” reads the report.
“Oil exports also represent good opportunities as the country imports almost all of its refined oil products.”
Pennine Petroleum Corporation is moving forward with its own Albanian activities, after receiving in November final approval of a Production Sharing Agreement (PSA) for development and production of hydrocarbons in the Velca Block.
According to an independent resource estimate, the Velca Block has a best-case recoverable resource of 26.4 million barrels of oil. The focus of the estimate is the Ramica Anticline—a structure that appears to have two separate highs (Ramica and Amantia), which “may be connected if a hydrocarbon column similar to the other fields on trend is encountered.”
The report compares the potential of the Velca Block’s Ramica Anticline structure to established fields along the so-called “String of Pearls” faultline.
It also cites existing seismic data provided by the Albanian National Agency for Natural Resources (AKBN), which shows an undrilled 7.75-square-kilometer closed structure at the top of the Ramica Anticline.
Pennine will be selecting a Velca Block drill target after engaging geophysical consultants to examine available geotechnical data, as well as previously collected geological information.