Lebanese government has awarded two offshore exploration and production licenses to a consortium of Total, Eni, and Novatek.
The deadline set for prequalified companies to submit their bids on the open blocks within the country’s much-delayed first offshore licensing round expired on October 12.
Three companies forming one consortium participated in the bid round and submitted one bid for block 4 and one bid for block 9. These companies were French Total, Italian Eni and Russian JSC Novatek. After this, the evaluation of the technical and commercial offers took place.
On Thursday, December 14 the country’s Council of Ministers approved the awards of two exclusive petroleum licenses for exploration and production in blocks 4 and 9 to the consortium of three companies.
No bids were received for the remaining three offshore blocks. The country’s Minister of Energy and Water, Cesar Abi Khalil, said that the remaining blocks will wait for the next licensing round.
According to Lebanese Petroleum Administration (LPA), the exploration phase will start upon the signature of the EPA and will last up to five years with the possibility of having a one-year extension. The ultimate goal of the exploration phase is to strike a commercial discovery.
Reuters reported that exploratory drilling was expected to start at the beginning of 2019.
Offshore Energy Today Staff